Nigeria commits $1.5billion to repair 32 year-old Port Harcourt Refinery

Port Harcourt Refinery
File: NNPC GMD in t-shirt at the Port Harcourt refinery on 21 Sept. 2019
Port Harcourt Refinery
File: NNPC GMD in t-shirt at the Port Harcourt refinery on 21 Sept. 2019

The Federal Executive Council (FEC), has approved $1.5 billion for the repair of the 32 year-old Port Harcourt refinery.

The council gave the approval at its 38th Virtual session held today.

President Muhammadu Buhari presided at the meeting.

The Port Harcourt refinery which began operation in 1989 is the largest refining company in Nigeria.

At inception, it had a capacity to process 150,000 barrels of crude a day.

The older one in the city was commissioned in 1965. It had a capacity for 60,000 barrels.

The 32 year-old refinery has been repaired innumerable times, under various Turn Around Maintenance contracts.

These have turned out to be means of shortchanging the country.

No sooner the refinery was repaired than it became dysfunctional again, making Nigeria to become the greatest importer of refined products.

The new financial commitment will hopefully be for the refinery’s final rehabilitation.

“The Ministry of Petroleum Resources presented a memo on the rehabilitation of Port Harcourt refinery for the sum of 1.5 billion, and that memo was $1.5 billion and it was approved by council today, said Minister of State for Petroleum, Timipre Sylva.

“So we are happy to announce that the rehabilitation of productivity refinery will commence in three phases.

“The first phase is to be completed in 18 months, which will take the refinery to a production of 90 percent of its nameplate capacity.

“The second phase is to be completed in 24 months and all the final stage will be completed in 44 months and consultations are approved.

“And I believe that this is good news for Nigeria,” Sylva said.

4 COMMENTS

  1. This Buhari lacks intelligence. I am always saddened by the thought, this irresponsible Buhari will altogether spend eight messing up the lives of Nigerians living and unborn.
    Just like the Lagos to Ibadan Expressway, where Billions of Naira has been spent over 15 years with nothing to show for the Billions, this stupid Buhari Administration wants to make more money for the 2023 elections by sharing the Billions of Dollars that will be borrowed from China in the name of repairing non-workable/non-repairable refineries.
    Is high-time/right-time, we all go our separate ways. Up Yoruba Nation.

  2. Please Mr. president kindly stop this monumental fraud that is about to take place with this so called project, the last three administrations had committed financial maladministration with this same project, at the end it all came to nothing leaving Nigerians with tales of financial woes and palpable debts, building a refineries will be the best thing that will happen to Nigeria and Nigerian, but it has to be a BRAND NEW REFINERIES, with this $1.5b you can build two BRAND NEW STATE OF THE ART REFINERIES one will be located in Port Harcourt and another in Kaduna, and I will suggest that the new refineries be built closer to the previous ones in the respective cities so that the old pipes that supplied crude oils to the old refineries will be tapped from and supplies the newly built to save cost, the new refineries will have state of the art security system and gadget that world class airports are using and some notable companies like Amazon is also using this gadget and security systems in their warehouses before the pandemic breakout, there will be three stages of security put in place on each of this two refinery plants, the last stage will be capable of dictating any foreign object in ones body system, nobody will be allowed to enter the last stage that have those important equipment with anything, not even their cell phone, but the company will provide phones on each of those strategically located places available for workers to use and communicate with their family and love ones in the event of emergency from their respective homes, this gadgets are extremely cheap( because I know my Nigerian people once it is called world class they will inflect the cost one million times, this has to be avoided from happening), With this security system in place, the president, finance minister and minister of works or Labour can easily sees what is happening inside the refineries at all time from anywhere they are ( even from the comfort of their bed), reason for this type of security system is like I said before, that I know my Nigerian people,( this will prevent unscrupulous business elements from buying a worker or paying an insider to put a harmful chemicals that will breakdown the refinery plants or important equipment in the plant), with cost to cost efficient, $750m will built each of this state of the art refinery if it is judiciously spent on the project, Mr. president remember the current exchange rate now in Nigeria it is over four hundred to one dollar, this gives you more building financial power, you will source your raw materials from local manufacturers, it is the refining machines and few other special equipment that will be imported from overseas because we don’t have the capacity to build those equipment in Nigeria for now, to avoid people taking advantage of you on those equipment, you can search for the company that manufacture them in INDIA, CHINA and KOREA, even we here that lives in so called World best economy the equipment still comes here from those Countries that I just mentioned, you will see the specific and prices on their company portals to avoid a repeat of UMBREA purchase happening on this brand new refinery projects,
    After this refineries are built the government will reduce the price of diesel to #30 per liter and petrol to #40 per liter, I quoted this prices judging from overhead cost of two other countries i will not mention names here,
    this will not only boost the economy of Nigeria like Thunder but it will also revitalizes the industrial sectors that has been in moribund since 1999 when the increment of petroleum product started in Nigeria without putting in place adequate and efficient electricity supply that will sustain the manufacturing sectors, this will be the beginning of a better life ( good living standard) to Nigerian, Mr. president sir do you know that by June, July, August periods, when watermelon is sold in Lagos for #500 -#700 depending on the sizes, that same water melon is still been sold by farmers at #85 in Gwaranyo ( I hope that i spell this city correctly ) in SOKOTO State, it is little over 100km from capital city of Sokoto, I have been there and several other cities located in the border states in NORTH and Southwest when i was doing research on African economy, also try your best and let the electricity that will be used on the new refinery be generated from solar system, to avoid some elements from intentionally interrupting power supplies to those refinery that will make them to breakdown, after this two new refineries are completed, i would suggest you start the third one which is Warri refinery and also start building border walls on some of the strategic areas, i suggested this in 2010 after spending over a month living in different border town across southwest and northwest researching on African economy, i equally spend days on border town of other west African countries doing same research, my suggestion of building border walls in Nigeria and mounting several hidden security cameras at those areas just like it is in TEXAS and NEW MEXICO, the president, finance minister, Labour or Work minister can easily view those cameras live from anywhere they are, to prevent bad egg in government paramilitary arms from aiding and abating smuggling of those petroleum product outside the country or smuggling somethings inside the country, on January 22nd 2010 i counted 122cars carrying rice and other things that i couldn’t see into the country, this is just one night. the walls will also checkmate criminal element and their activities, though there is no country in the world that can eradicate crime completely, but this will help bring it down from 100percent to 20percent, Farmers can afford to move their cash crop from one end of the country to another by themselves and start earning a better living, as it is a the moment farmers does not make money in Nigeria at the moment because they cant afford to move their cash crop from one end of the country to another, those moving it presently are Traders and middle men, the real farmers does not make money, those very few farmers that make money in the country are few that has access to constant bank or government loan, if this mechanism are put in place farmers doesn’t need constant loan to turn their life around and have a good living standard, i also have some ideas that when implemented Nigeria will stand toe to toe with five top economically viable countries of the world, but it will be extremely hard to implement because some forces( people) in Nigeria and their foreign ( some nations)accomplices will not allow it to be implemented. because if its fully implemented it will stop Nigeria from loosing their best hands to foreign nations, Nigerian will not love to travel and live in Foreign countries anymore like it is happening now, don’t get me wrong people will still travel outside Nigeria but but it will reduce the percentage from 100percent to 10percent, and lots of people who have been living outside the country will return home to build the country, i will stop here for now.

  3. FG/FEC, this is another way to milk the treasury dry the more. If you like do it fifty times, repair, rehabilitate, refurbish, restore or whatever name, your tenure will end and you shall steal now more.

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