The Administration was said to have also expedited action for the Turn Around Maintenance, TAM, of the PortHarcourt, Kaduna and Warri Refining and Petrochemical plants, with a combined installed capacity of 445,000 b/d. Speaking with stakeholders in the oil and gas sector sectors of the economy, on the historic start of domestic reefing of petroleum products, the multi-billionaire business mogul had thanked the Nigerian President and the Management of NPCL, for believing in him and supporting the mega project despite all odds.
Indeed, the Nigerian President could also expedite action on the rehabilitation of the country’s three major refineries because he has continued with the implementation of the 2020 -2043, National Infrastructure Master Plan, inherited from Buhari estimated at a cost of about $2.3 trillion for the next 21 years at the cost of $10 billion per annum.
Recall that Babatunde Fashola, a –one time governor of Lagos state and immediate past minster of Works during Buhari’s Administration had said that ‘’lack of critical infrastructure like functional petroleum refinery which has accounted for the over 30% of the country’s forex demand used for importation of products, has been the major problem of the country noting that if the forex demand can be reduced to a manageable 10%, it will firm the nation’s economic sense.
The former minister had stated that if the petrol, Automotive Gas Oil, popular diesel, Aviation Turbine Kerosene, ATK and Dual Purpose Kerosene, DPK, consumed in the country can be locally produced, some costs like shipping , insurance and port charges will be avoided.
Kolo mele Kyari, Managing Director, Nigerian National Petroleum Corporation, NNPC, now baptized Nigerian Petroleum Company Limited, NPCL, with the passage of the Petroleum Industry Bill, PIB, by the 9th National Assembly and signed into Law by the Katsina state born Nigerian President in August 2021, before he left office in May 29, 2023, may have gladdened the heart of Nigerians when he stated that the PortHarcourt refinery which had received 450,000 barrels of crude following delivery from the active lines of the completed facility and will resume production in April, 2024 but was how far he could go.
Note that the sum of $1.5 billion had been approved by the 9th Senate on the request of the then President Buhari for the repair of the refinery, described as the biggest in the country about three years ago. Many believe that if the PortHarcourt refinery has started operation last April, there would not have been any need for NNPCL, to start around of petrol importation to address the looming product scarcity across the country
The Management of the Kaduna Refining and Petrochemical Company Limited, KRPCL, has confirmed that the rehabilitation of the plant will be completed by the end of this 2024, after years of being out of service due to lack of maintenance.
Mustafa Sugungun , the NPCL, Chief Executive Officer, CEO, was said to have told the Senate Committee on petroleum Downstream led by Senator Ifeanyi Ubah that the 100,000b/d refinery will start producing at 60% capacity by December 2024, while full production will take place subsequently. He had said that the repair works of the Kaduna refining and petrochemical plant is currently at about 40% and will be completed within the stipulated time frame. He had said that the refining and petrochemical plant rehabilitation work is going on well and steadily according to the plan of the Authorities.
He was said to have told those that cares to listen the initial operation of the plant is for refining 60% of Nigerian crude and 50,000 barrels of imported crude for production of lubricants and other petrochemical aspects of it.
There is no gain saying the fact that for many years, the PortHarcourt , Kaduna and Warri refineries and Petrochemical plants has been out of production, leaving the country too rely heavily on imported Petroleum products.
Many had expected that with the resumption of production by the Dangote refinery, last January, motorists will no longer be queuing at filling stations to buy petrol or diesel. The petrol queue at the major cities across was said to have started penultimate week had entered May 1st, 2024, being workers day turning it to bleak workers day, as many workers were stranded on the road, fuelling speculations making the rounds that the Management of NPCL, did not make any adequate arrangement to stock the depots across the country with products.
Signs that the fuel scarcity problem will extend to workers’ day became pronounced following a disaster of unimaginable magnitude on the night of Friday, April 26, 2024, that was said to have been caused by a leakage from a petrol tanker after it had crashed into another tanker that belong to Indorrama
Petrochemicals, loaded with another type of product along the East West road and Aleto Bridge, Eleme, some few Kilometers from the PortHarcourt refinery.
Aware that the nationwide petrol scarcity may worsen if not properly tackled at this preliminary stage may have informed why the Management of NNPCL, had moved into action, reassuring Nigerians that there was no cause for alarm as the ongoing long queues found at the filling stations across the country will be cleared on Wednesday, May Ist, 2024, being the workers day.
Olufemi Soneye, the NPCL’s Communication officer was emphatic that the company currently has an availability of products exceeding 1.5 billion litres , which can last the country at least the next 30 days.
He had attributed the long queues found at fillings in Lagos, the nation’s Commercial nerve centre and other parts of Nigeria, to the three -day disruptions in the distribution logistics which had been ‘’resolved’’. NNPCL Authorities had said that it has enough products in its depots across the country to meet the need of Nigerian motorists. The NPCL Communication officer could beat his chest that the company has adequate petrol product availability for now because it has started offloading 240 million litres of imported petrol, which was said to have come in five vessels at the Lagos pots. There are indications that at present the NNPCL is offloading the imported petrol at the filling stations at the cost of N800.00 per litre as a way to recover cost of importation.
As a predude to finding out the state of the PortHarcourt refinery in order to reduce the dependence on foreign petrol imports, and cost per litre, may have encouraged the Leadership of the Independent Petroleum Marketers Association of Nigeria, IPMAN, to visit the refinery after the last Friday petrol tanker explosion, at the outskirts of PortHarcourt, the Rivers state capital.
The Oil Markers may have given Nigerians a cause to be cherry based on their findings that ‘’the plant will start releasing refined petroleum products to filling stations across the country this May, 2024’’.The petroleum products marketers under the aegies of IPMAN, had confirmed that the TAM, of the 210,000b/d PortHarcourt refinery has been completed awaiting to resume full production.
Tekna Kpaki, IPMAN, Chairman, PortHarcourt Branch had said that the Management of the refinery had given their words to the dealers that the refinery will begin operations and production of petrol, diesel , kerosene and cooking gas soon, an indications that the recurring long queues at filling stations across the country and the return of the black market petrol dealers and profiteers will soon be a thing of the past.
