Port Harcourt Refinery and African Refinery Unite
In a significant move towards enhancing Nigeria’s local refining capacity, the Nigerian National Petroleum Company Ltd (NNPCL) has entered into an agreement with African Refinery. The collaboration aims to co-locate a 100,000 barrels per day (bpd) capacity refinery within the Port Harcourt Refinery and Petrochemical Complex. This strategic partnership was announced by the NNPCL on April 25, 2024, marking a crucial step towards boosting Nigeria’s refining capabilities and reducing its reliance on imported petroleum products.
The Port Harcourt Refinery, one of Nigeria’s major refineries, has been undergoing a series of upgrades and renovations to increase its efficiency and output. The completion of the mechanical works at the Warri refinery and the ongoing work at the Kaduna Refinery are part of the broader efforts to revitalize Nigeria’s refining sector. The Port Harcourt Refinery, with its 210,000 bpd capacity, has been operating below capacity for several decades due to process inefficiencies and lack of maintenance.
The agreement with African Refinery to co-locate a 100,000 bpd refinery within the Port Harcourt complex is expected to significantly augment Nigeria’s refining capacity. The new refinery will supply a variety of petroleum products, including Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), Aviation Turbine Kerosene (ATK), Liquefied Petroleum Gas (LPG), and other products to both the local and international markets. The project also promises to create employment opportunities for Nigerians, contributing to the nation’s economy and energy security.
This development comes at a time when the Nigerian government is actively pursuing measures to improve the country’s refining capacity. The co-location project with African Refinery is seen as a crucial step towards achieving self-sufficiency in petroleum products and reducing Nigeria’s dependence on imports. The NNPCL’s move to boost local refining capacity is part of a broader strategy to transform Nigeria into a hub for petroleum refining and petrochemical production in Africa.
In summary, the agreement between the Port Harcourt Refining Company (PHRC) and African Refinery marks a significant milestone in Nigeria’s efforts to revamp its refining sector and achieve self-sufficiency in petroleum products. With the co-location of a 100,000 bpd refinery within the Port Harcourt complex, Nigeria is taking a major step towards enhancing its refining capacity, reducing its reliance on imported petroleum products, and ensuring a stable supply of petroleum products to the local and international markets.