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NNPC Awaits Chinese Firms’ Reports on Port Harcourt, Warri Refineries
NNPC Awaits Chinese Firms’ Reports on Port Harcourt, Warri Refineries
NNPC awaits technical assessment reports from two Chinese firms before deciding on further investments in the Port Harcourt and Warri refineries.
The prospective partners have conducted about three months of on-site assessments with NNPC engineers.
The company says no restart date will be announced until technical, financial and commercial requirements are settled.
NNPC’s petrol discount, introduced on October 1, will continue until October 31, 2026.
October 14, () – The Nigerian National Petroleum Company Limited is awaiting technical assessment reports from two Chinese firms before deciding on further investments to revive the Port Harcourt and Warri refineries, as it seeks to avoid another round of rehabilitation spending without a clear path to commercial returns.
The NNPC’s Chief Corporate Communications Officer, Andy Odeh, disclosed this in an exclusive interview with The PUNCH, explaining that the prospective partners had completed about three months of detailed on-site assessments alongside the company’s technical teams.
The assessments are expected to determine the engineering work, technology and investments required to restore the facilities to reliable and commercially sustainable operations.
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The two Chinese firms, Sanjiang Chemical Company Limited and Xinganchen (Fuzhou) Industrial Park Operation and Management Co. Limited, are being considered under a proposed technical equity partnership model designed to combine investment, engineering expertise and operational capacity.
“The prospective partners have carried out approximately three months of detailed on-site assessment with their senior engineers, working alongside NNPC teams.
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“The technical report is being finalised. The assessment is intended to establish what work and technology are needed for competitive operations,” Odeh said.
Andy Odeh Chief Corporate Communications Officer NNPC Limited Photo credit NNPC
NNPC Awaits Technical and Investment Proposals
The company said the next stage would involve completing the assessment reports, receiving detailed proposals from the prospective partners and agreeing on technical and commercial terms.
Definitive agreements, the necessary approvals and a final investment decision would then be required to establish a programme for completing outstanding work and restarting operations.
The NNPC has not announced a timeline for restarting either refinery, maintaining that a commitment would be premature until the technical requirements, financing arrangements and operating framework had been established.
“We cannot responsibly promise a restart date before these requirements are settled. The engineering assessment is concrete progress, but Nigerians will ultimately judge success by sustained production and reliable product supply,” Odeh stated.
The proposed partnership follows a memorandum of understanding signed by the NNPC and the two Chinese companies on April 30, 2026.
The agreement covers the completion of outstanding work, operation and maintenance of the Port Harcourt and Warri refineries, as well as assessments of potential upgrades and expansion, including petrochemical opportunities.
However, the NNPC stressed that the memorandum of understanding was a preliminary framework rather than a final investment or operating agreement.
Commercial Viability Drives New Refinery Strategy
The distinction is significant because the proposed arrangement has yet to translate into a binding investment commitment or a confirmed rehabilitation and restart programme.
Speaking at a media parley on September 29, the NNPC Group Chief Executive Officer, Bayo Ojulari, reiterated that the company would not undertake further rehabilitation without a credible path to commercial viability.
According to the company, the proposed structure is intended to attract partners prepared to invest in the facilities and share responsibility for their operational performance, rather than rely solely on contractors paid to complete rehabilitation work.
“As the Group Chief Executive Officer, Engr Bayo Ojulari, has explained, successful rehabilitation requires financing, competent engineering and construction, and strong operating capability. Completing repairs alone is not enough; the facilities must also be able to operate reliably and profitably,” Odeh said.
The approach reflects the NNPC’s stated intention to prioritise the long-term performance of the refineries over the completion of repair projects without sustainable production.
The company also clarified that the Kaduna refinery was not covered by the current partnership arrangement and that work on the facility had not commenced under the proposed model.
Porthacourt refinery Photo credit matrixnews
Refinery Revival and Petrol Prices
The focus on commercial viability comes amid continued public concern over domestic refining capacity and petrol prices.
A successful revival of the Port Harcourt and Warri facilities could increase domestic processing capacity and reduce Nigeria’s reliance on imported refined petroleum products.
However, the extent of any impact would depend on the plants’ actual output, operating costs and ability to sustain production.
The NNPC said more efficient domestic refining could improve supply, strengthen competition and reduce dependence on imported finished products. It, however, stopped short of promising an immediate reduction in pump prices.
“We understand why Nigerians are asking about our refineries as petrol prices put pressure on household budgets and businesses. Our priority is to restore reliable, commercially sustainable refining capacity while supporting practical relief for customers,” Odeh said.
Meanwhile, the NNPC said its retail petrol discount, introduced on October 1, would remain in place until October 31, 2026, as part of measures to provide temporary relief to customers.
The discount initiative is separate from the proposed refinery partnership and does not depend on the completion of the technical assessments.
For now, the immediate milestones remain the finalisation of the engineering reports, submission of detailed investment proposals, and agreement on technical and commercial terms.
Until those steps are completed and definitive agreements reached, the proposed revival of the two refineries remains a work in progress rather than a confirmed restart programme.
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