Despite the assurance from authorities in Nigeria, that the Port Harcourt Refining Company Limited (PHRC) would commence operations about two weeks ago, it remains idle.
The hope of citizens that the revival of the long-dormant Port Harcourt refinery, along with others in Warri and Kaduna, would alleviate the country’s energy crisis and reduce the need for imports remains dashed.
Stakeholders anticipate significant benefits from domestically refining oil for consumption and the support of the Dangote refinery in boosting Nigeria’s forex reserves, which have suffered due to importation.
Earlier, Mele Kyari, the Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL), informed the Senate on March 28, that the refinery in Port Harcourt would begin operations within two weeks, reiterating that the refinery’s rehabilitation would stay on track.
However, the deadline has elapsed, and the Port Harcourt refinery remains inactive. He mentioned that progress was made with the Warri refinery, while the Kaduna refinery is marked for completion and production commencement in December of this year. He stated that the Port Harcourt refinery’s rehabilitation had concluded, having met its mechanical completion requirements.
He had said: “The Mechanical Completion means that you are done with your rehabilitation work, now you are to test if this completion is okay.”
Olufemi Soneye, the NNPCL Chief Corporate Communications Officer said regulatory and compliance tests were the only reasons keeping the Port Harcourt refinery from starting full operations.
He said the Port Harcourt refinery has received and stocked crude oil in its facility adding that all crude oil lines are active and regulatory compliance tests are in progress.
Once completed the refinery is expected to resume operations.
On February 12, the Shell Petroleum Development Company of Nigeria Limited (SPDC) announced the successful delivery of more than 475,000 barrels of crude oil to the Port Harcourt refinery. This was supplied from the Bonny Oil and Gas Terminal, which is a joint venture asset operated by SPDC.
Dr Osagie Okunbor, the Country Chair of Shell Companies in Nigeria and Managing Director, SPDC said the refining capacity of in-country will be rejuvenated and petroleum products will be available thereby decreasing the country’s independence on imported refined products.
Commenting on the resumption of crude supply, Odita Nnajiofor, the Installation Manager of the terminal, emphasised the importance of this achievement. He highlighted that restarting crude supply signifies a crucial advancement in the nation’s renewed commitment to utilising essential infrastructure for the consistent provision of products from the refinery to the Nigerian market.
Nnajiofor said, “Before implementing the supplies of the product to the refining company, the project teams first assured the integrity of the supply pipelines and the terminal’s export pumps which had been shut down for an extended period.”
He said the actions birthed the successful completion of the supply with zero harm to the environment.