The Nigerian National Petroleum Company (NNPC) has selected Chinese firms to undertake the rehabilitation of the country’s refineries, following an extensive evaluation of potential international partners.
Mr Ojulari confirmed the decision, stating that the selection was the result of a nine-month rigorous assessment process. During this period, the NNPC evaluated more than 50 potential partners before narrowing the field to approximately 20 companies, eventually selecting the Chinese firms to lead the technical revamp.
The decision aims to address the long-standing technical failures of Nigeria’s refining assets, which have left the country heavily dependent on imported petroleum products. The involvement of Chinese companies is intended to provide the technical expertise required to restore the capacity of the Port Harcourt, Warri, and Kaduna refineries.
The choice of these partners followed a detailed review of the capabilities of various global energy firms to ensure the chosen entities could meet the specific technical requirements of the project.
Impact on national energy security
The rehabilitation of these refineries is a critical component of Nigeria’s strategy to reduce foreign exchange pressure. For years, the lack of functional domestic refining capacity has forced the government to spend billions of dollars annually on fuel imports, a situation that has strained the nation’s economy and contributed to price volatility.
The current plan focuses on restoring the operational efficiency of the existing state-owned facilities. By partnering with experienced Chinese companies, the NNPC intends to facilitate the technical upgrades necessary to process crude oil into refined products locally.
The successful execution of this project will depend on the ability of the selected firms to manage the complex technical overhaul within the projected timelines. The NNPC is expected to proceed with the formalisation of contracts and the commencement of site works in the near future.
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