NNPCL’s Stance on Refinery Ownership
The Nigerian National Petroleum Company Limited (NNPCL) has faced strong criticism for deciding to keep the Port Harcourt Refinery under its control. The company plans to fully rehabilitate the facility rather than sell it.
At a town hall meeting in Abuja, NNPCL’s Group Chief Executive Officer, Bashir Bayo Ojulari, explained the decision. He said it stems from detailed technical and financial reviews of the Port Harcourt, Kaduna, and Warri refineries. The meeting took place on Tuesday at NNPCL’s headquarters.
Dr. Joseph Obele, a stakeholder and spokesperson for the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN), strongly opposed NNPCL’s decision. He questioned why the Warri and Kaduna refineries might be sold while Port Harcourt remains under NNPCL’s management. Obele called the decision unfavorable.
Concerns About NNPCL’s Track Record
Obele highlighted NNPCL’s history of mismanagement and corruption. “Private firms, like Indorama Petrochemical, better serve local communities,” he said. He argued that NNPCL’s inefficiencies have caused fuel shortages, price increases, and economic challenges for Nigerians.
Obele argued that privatizing the Port Harcourt Refinery would improve efficiency, attract investment, create jobs, reduce corruption, enhance transparency, boost global competitiveness, optimize resource management, increase government revenue, and improve fuel quality and supply, greatly benefiting both the community and the nation.
Call for Presidential Action
Obele urged President Bola Tinubu to intervene. He asked the president to push for the privatization of the Port Harcourt Refinery alongside others. This, he said, would ensure transparency and economic growth. Obele assured that the community would warmly welcome a private firm and work closely to make the refinery successful.
NNPCL’s Response
Ojulari explained that earlier plans to operate the Port Harcourt Refinery before its full rehabilitation were flawed. Current reviews show the need for advanced technical partnerships to complete the facility’s upgrade. Selling the refinery now could reduce its value, he added.
The announcement follows speculation sparked by Ojulari’s comments at the 2025 OPEC Seminar in Vienna. During a Bloomberg interview, he hinted that “all options” were open for Nigeria’s refineries, leading to widespread debate.
NNPCL staff welcomed the leadership’s clear, business-focused direction during the town hall. The event allowed open discussions, with updates on Upstream, Downstream, Finance, Business Services, Gas, Power, and New Energy sectors. Challenges were acknowledged, and a clear plan was shared.
Commitment to Energy Goals
The decision reflects NNPCL’s role as a key player in Nigeria’s energy sector. It aligns with the government’s goal of ensuring energy security and keeping critical assets under national control.
Employees described the leadership’s vision as “reassuring” and “sustainable.” They expressed hope about NNPCL’s future direction. The company aims to become a transparent, performance-driven energy firm, prioritizing Nigerians’ needs, Ojulari concluded.
Source: Oriental
