By Ayomide Otitoju
The Nigerian National Petroleum Company Limited (NNPC Ltd.) has officially ruled out the sale of the Port Harcourt Refining Company (PHRC) and announced plans to raise new funding to complete the rehabilitation of its refineries in Port Harcourt, Warri, and Kaduna.
Group CEO Bayo Ojulari made the declaration during a company-wide town hall meeting in Abuja, ending speculation triggered by earlier statements at the 2025 OPEC Seminar in Vienna. In a management statement on Wednesday, NNPC said, “Selling is highly unlikely as it would lead to further value erosion.”
Ojulari described the idea of selling PHRC as “ill-advised and sub-commercial,” affirming the company’s resolve to complete high-grade rehabilitation with the support of new technical partnerships. He explained that detailed reviews of the refineries’ current state influenced this decision, noting previous plans to operate the PHRC before full rehabilitation were flawed.
The PHRC, comprising two units with a combined capacity of 210,000 barrels per day, was shut down in 2019 for refurbishment. Though it briefly resumed production in November 2024, it was again shut in May 2025 for further repairs.
NNPC’s renewed stance came on the same day Dangote Group President Aliko Dangote raised doubts about the viability of government-owned refineries.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) welcomed NNPC’s commitment. National Publicity Secretary Chinedu Ukadike said the refinery was already 90% complete and called on the Federal Government to clear outstanding payments to contractors, particularly Tecnimont, the engineering firm overseeing the rehabilitation.
Ukadike cautioned against delays due to the search for new technical partners, saying, “The refinery is almost ready. Let them finish it and start production.”
Energy analyst Kelvin Emmanuel expressed skepticism, questioning the source of funding and the fate of previous loans. “What money is the company going to use… Shouldn’t we ask about the $2.9 billion borrowed over the past four years?” he posted on X.
The town hall meeting also featured performance updates across NNPC’s divisions and was marked by staff enthusiasm over the renewed clarity. Ojulari concluded by reaffirming the company’s mission: “NNPC Ltd will continue to reposition itself as a commercially driven, professionally managed national energy company, grounded in transparency and focused on performance.”
