Port Harcourt Refinery Begins Operation

Philip Daniel Yatai
Nov, Wed, 2024

Oil & Gas

Port Harcourt refinery begins operation

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By Emmanuella Anokam

The Port Harcourt Refinery, managed by the Nigerian National Petroleum Company Limited (NNPC Ltd.) through the Port Harcourt Refining Company Limited (PHRC) has commenced operations after undergoing rehabilitation and modernisation.

The refinery with 210,000 bpd refining capacity located at Alesa, Eleme, in Port Harcourt, comprises two operational units which were established in 1965 and 1989.

The News Agency of Nigeria (NAN) reports that the old plant refines a capacity of 60,000 barrels per day (bpd), while the new plant refines 150,000 bpd.

It would be recalled that the Federal Government, under former President, Muhammadu Buhari, had in March 2021 secured a 1.5 billion dollars loan to rehabilitate the facility which contract was awarded to an Italian firm, Tecnimont S.P.A, a subsidiary of Maire Tecnimont Group.

NAN reports that Malam Mele Kyari, the Group Chief Executive Officer of NNPC Ltd. is leading the team to inspect the first lifting of petroleum products from the facility after its rehabilitation.

Speaking at the Refinery on Tuesday, Kyari commended the contractors for doing a great job in ensuring that the refinery was delivered in spite of all challenges and unforeseen circumstances.

“The refinery is running, it is almost a new refinery because every rotating equipment, every compressor is new, we have practically changed everything.

“There is one unit which has never worked for 27 years, but it is back on stream.

“Everything that happened was something we did not have control over, it’s an old machine which would start and fail, it is normal for a plant, so you cannot make promises on it.

“This is really a moment of value for our country because it changes narratives about governance. It brings to the fore what leadership push can bring to systems and institutions,” he said.

He thanked President Bola Tinubu for his unwavering support and understanding towards the rehabilitation of the project and for his persistence to ensure energy security for the country.

They also thanked Nigerians for their patience and for the legitimate expectations of the company to deliver on the other refineries.

Mr Farouk Ahmed, the Chief Executive, Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) while congratulating the NNPC Ltd for achieving the milestone, lauded the upgrade of the old plant to a new technology.

“The flare is clean and has no smoke which shows that the plant is working very well and also compliant with environmental requirements,” he said.

Ahmed said all the regulatory support required was granted by the NMDPRA, adding that it would continue to support the completion of the rehabilitation work at the other refineries.

The Refinery Project Manager, Caccavielo Luca expressed satisfaction on the upgrade and re-streaming of the refinery after years of being moribund, adding that the same passion would be applied for the rest of the plant.

The PHRC rehabilitation project, is an Engineering, Procurement, Construction, Installation & Commissioning (EPCIC) project that is aimed at restoring the refinery to full functionality and renewal.

The refinery according to the NNPC Ltd. reached “mechanical completion” of rehabilitation work in December 2023, as it said that the facility would start refining 60,000 barrels of crude oil daily after the 2023 Christmas holiday.

In January, NNPC Ltd, Kyari, said that the refinery was being tested and would be ready by the end of January.

The promise came after the company said it was seeking to engage a reputable company to operate the refinery.

NNPC made further promises when the refinery failed to commence operation in January, that it would now begin operations in April. This, also did not materialise.

Further promises were made that the refinery would commence operations in July and August of this year, of which none of those new dates materialised.

Some Nigerians including former President Olusegun Obasanjo had expressed disappointment that the nation’s refineries have remained moribund for years, as the country had depended on imported product for about 20 years. (NAN)

Edited by Ese E. Eniola Williams

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