The Port Harcourt Refinery has recommenced operations after years of underperformance and turnaround maintenance.
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President Bola Ahmed Tinubu Media Centre in a post on Thursday morning on X (formerly Twitter) said, “the Port Harcourt Refining Company in Rivers state has recommenced operation in line with the Federal Government’s promise to ensure the production of refined products at the facility in December 2023.”
Good News for Nigeria:
The Port Harcourt Refining Company in Rivers State has recommenced operation in line with the Federal Government’s promise to ensure the production of refined products at the facility in December 2023.
— President Bola Ahmed Tinubu Media Centre (@PBATMediaCentre) December 21, 2023
Daily post reported that the refinery with a combined capacity of 210,000 barrels per day, commenced operation on Wednesday, referencing a video that shows the refinery’s flare which indicates the commencement of oil refining.
Business Day in its report quoted an official of the ministry of petroleum as saying, “Yes, the refinery is set, we will visit the refinery site today to kickstart its operation.”
At the time of this report, Investogist has not independently verified the recommencement of operation at the refinery, or the extent of the operation.
In August, during an inspection tour of the rehabilitation work at the PHRC Ltd plant, the Minister of State for Petroleum Resources (Oil) Senator Heineken Lokpobiri said the refiner will recommence operations in December.
“Our objective in coming here today is to ensure that in the next few years, Nigeria stops fuel importation. From what we have seen here today, Port Harcourt Refinery will come on board by the end of the year,” he said during the visit.
The recommencement of operations at the Port Harcourt refinery comes over two years after the Federal Government approved funding of $1.5 billion (1.2 billion euros) to repair one of its biggest oil refineries.
The government chose an Italian firm Maire Tecnimont to carry out the repair work at the Port Harcourt facility which has a capacity of some 210,000 bpd.
In March 2021, the Federal Executive Council approved $1.5 billion to rehabilitate the Port Harcourt Refinery.
Accordingly, data showed that the Nigerian government has spent N11.35 trillion ($25 billion) in the past ten years on fixing the country’s three refineries.
Port Harcourt Refining Company Limited (PHRC) has an installed oil refining capacity of 210,000 Barrel Per Stream Day. it comprises of two refineries, the old refinery with a capacity of 60,000 bpsd, and the new refinery with installed capacity of 150,000 bspd.
Investogist learnt from sources at the PHRC that it is the old refinery with 60,000 bpsd capacity that was scheduled to recommence operations in 2023.
Industrial experts say that with commencement of Port Harcourt Refinery and the Dangote Refinery, the price of fuel, which is over N617/litre, may drop.
Nnamdi Maduakor is a Writer, Investor and Entrepreneur
