Marketers ‘hopeful’ of Port Harcourt refinery’s August timeline

• Refinery Owners Association commend NNPCL for supplying 60% of crude to Dangote
• George condemns secrecy in oil sector, warns Dangote’s naira deal will deplete FX earnings

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has announced that the Port Harcourt refinery is on track to meet its August deadline for producing petroleum products and will be able to supply 10 to 12 million liters of petrol to marketers. The National Operations Controller of IPMAN, Zarma Mustapha, made this statement in an interview with Channels TV on Thursday.

During an interview on Channels’ Sunrise Daily, Mustapha expressed confidence that the refinery’s long-awaited completion will significantly boost the supply of petrol in Nigeria. He stated that with a capacity of 60,000 barrels, it can provide approximately 10 to 12 million litres of petrol daily.”

When questioned about the potential impact of the refinery’s operation on petrol prices, Mustapha indicated that it could lead to a reduction, depending on the cost of crude oil and the refinery’s pricing strategy.

The Nigerian National Petroleum Company (NNPC) Limited’s CEO, Mele Kyari, recently assured that the Port Harcourt refinery will commence operations this August, adding that the other three refineries in Kaduna and Warri would start operations in the second half of 2025.

However, there are doubts about this pronouncement because this is not the first time Kyari has made such a projection. Previous deadlines for the resumption of refinery operations have not been met, leading to skepticism about the feasibility of the current timeline.

Meanwhile, the Crude Oil Refinery Owners Association of Nigeria has expressed its excitement with the 60 per cent crude oil supplied to the 650,000 barrels per day Dangote Petroleum Refinery and Petrochemicals by NNPCL.

Chairman of the association, Momoh Oyerekhua, said on Thursday on Arise TV that the decision of President Bola Tinubu to sell crude in naira to local refineries would assist the domestic players. He said that feedstock issues have been a major constraint of domestic refining.

HOWEVER, a chieftain of the Peoples Democratic Party (PDP), Olabode George, yesterday, criticised the government’s handling of the oil industry, describing it as “mendacious and destructive.”

Speaking to newsmen at his office in Lagos, George lamented the secrecy surrounding the industry, urging the government to come clean on its dealings. He expressed concern over the decision to sell crude oil to Aliko Dangote in naira, warning that this could further deplete the country’s foreign exchange earnings.

George also questioned the government’s handling of the land acquisition process for Dangote’s refinery, wondering how much was paid to the original owners of the land. He expressed disappointment at the lack of transparency in the industry, citing rumours of corruption and cronyism.

The former Deputy National Chairman of the opposition PDP called on the government to address the nation and shed light on the true state of the sector. He specifically asked the NNPC boss, Kyari, to speak out on the issues plaguing the industry, saying, “Kyari said he would speak at the right time, I believe there’s no better time than now.”