The Nigerian National Petroleum Company Limited (NNPC) said it has officially ruled out the sale of the Port Harcourt Refining Company.
In a statement on Wednesday, the NNPC said its Group Chief Executive Officer, Bayo Ojulari, made the announcement at a company-wide town hall meeting in Abuja on Tuesday.
“The Nigerian National Petroleum Company Limited (NNPC) Ltd has officially ruled out sale of the Port Harcourt Refining Company, reaffirming its commitment to completing high-graded rehabilitation and retention of the plant,” the statement said.
Mr Ojulari stated that the position isn’t a shift; rather, it is informed by ongoing detailed technical and financial reviews of the Port Harcourt, Kaduna and Warri refineries.
“The ongoing review indicates that the earlier decision to operate the Port Harcourt refinery prior to full completion of its rehabilitation was ill-informed and sub-commercial,” he said.
Reasons for not selling
The NNPC said that although progress is being made on all three refineries, the emerging outlook calls for more advanced technical partnerships to complete and upgrade the rehabilitation of the Port Harcourt refinery.
“Thus, selling is highly unlikely as it would lead to further value erosion,” it said.
According to the statement, the announcement reinforces NNPC’s mandate as a strategic custodian of national energy infrastructure and reflects a firm resolve to deliver on the complete rehabilitation and long-term viability of Nigeria’s refineries.
It added that it signals continuity in the federal government’s broader energy security objectives and a commitment to retaining critical assets under national control.
“NNPC Ltd will continue to reposition itself as a commercially driven, professionally managed national energy company, grounded in transparency, focused on performance, and unwavering in its responsibility to its number one stakeholder group, Nigerians,” Mr Ojulari said.
Earlier in the month, Mr Ojulari said the company was considering selling the refineries due to the complexity of rehabilitation.
Speaking with Bloomberg at the 9th OPEC International Seminar, Mr Ojulari said a strategic review of NNPC’s refinery operations is underway and expected to be concluded before the end of the year.
“We’re reviewing all our refinery strategies now. We hope before the end of the year, we’ll be able to conclude that review. That review may lead to us doing things slightly differently,” he said.
Asked if that could include selling off the refineries, Mr Ojulari said, “What we’re saying is that sale is not out of the question. All the options are on the table, to be frank, but that decision will be based on the outcome of the reviews we’re doing now.”
In November last year, the presidency announced that plans for the complete privatisation of Nigeria’s state-owned refineries are currently underway.
The refinery
The Port Harcourt Refinery comprise two units, with the old plant having a refining capacity of 60,000 barrels per day (bpd) and the new plant 150,000 bpd, both summing up to 210,000 bpd.
The refinery has not operated maximally for over two decades. It was shut down in March 2019 for the first phase of repair works after the government secured the service of Italy’s Maire Tecnimont to handle the review of the refinery complex, with oil major Eni appointed technical adviser.
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In 2021, NNPC Ltd said repairs had started at the refinery after the Federal Executive Council (FEC) approved $1.5 billion for the project.
On 21 December 2023, the Nigerian government announced the mechanical completion and the flare start-up of the refinery.
In November 2024, the refinery commenced production after a long period of rehabilitation, but in May 2025, NNPC announced the shutdown of the refinery.
