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Port Harcourt Refinery Shutdown Sparks Reactions from Marketers and Industry Groups

by Radarr Africa

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has said the shutdown of the Port Harcourt Refining Company by the Nigerian National Petroleum Company Limited (NNPC) is not a major event and does not significantly affect the petrol market. The association described the closure as a move by the NNPC to “save face,” claiming the refinery had stopped producing petrol months before the announcement.

Chinedu Ukadike, the Publicity Secretary of IPMAN, told journalists that the 60,000-barrel-per-day refinery had not produced petrol for about three months even though it was declared operational in November 2024. He questioned why NNPC waited until now to confirm a shutdown that had, according to him, already taken place.

NNPC confirmed on Saturday, May 24, 2025, that the refinery would undergo a planned maintenance shutdown expected to last for 30 days. The company’s Chief Corporate Communications Officer, Olufemi Soneye, stated that the exercise was part of a scheduled maintenance and sustainability assessment.

Soneye said NNPC would work with regulatory bodies like the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to ensure the process is done transparently and efficiently. He added that updates would be shared regularly through official platforms.

Despite the assurance from NNPC, marketers and other players in the oil sector have continued to raise concerns. According to Ukadike, many marketers are already sourcing petrol from the Dangote Refinery or through importation. He said the shutdown of the Port Harcourt refinery had no impact on supply, as the facility had not contributed anything to the petrol market recently.

“For some time now, we’ve been buying fuel from Dangote. The Port Harcourt refinery has not produced anything for the last three months. So, this shutdown announcement is just a formality. Nigerians should ask, why is a newly reopened refinery already shutting down?” Ukadike said.

Meanwhile, the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) expressed worry that the refinery would be of no use if the Premium Motor Spirit (PMS) blending unit is not included in the maintenance. PETROAN’s President, Billy Gillis-Harry, warned that the scheduled 30-day repair may not be enough due to common delays in project execution.

He called on the NNPC to stay true to the timeline to avoid a repeat of past experiences that led to disruptions in fuel supply and job losses. Gillis-Harry urged the Federal Government to set up a monitoring task force made up of industry stakeholders to supervise the repairs and give weekly updates to Nigerians.

He also said payments to contractors should be timely to prevent delays and stressed that the PMS blending unit must be fixed to ensure the refinery produces useful products after repairs.

Joseph Obele, the spokesperson of PETROAN, confirmed that the refinery had already been shut down as of Thursday, two days before the official announcement. He echoed fears that the shutdown could lead to fuel scarcity and job losses, especially in host communities like Eleme, Rivers State.

On its part, the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) said the NNPC refineries in Port Harcourt and Warri are still not operating at full capacity. According to DAPPMAN’s Executive Secretary, Olufemi Adewole, the facilities currently produce naphtha but not the much-needed PMS.

He stated, “Our members will not go to Port Harcourt or Warri for petrol because they are not producing PMS. We prefer to buy from Dangote refinery or import if necessary, as allowed by the Petroleum Industry Act (PIA).”

In November 2024, NNPC announced that the rehabilitated Port Harcourt refinery had resumed operations, claiming a 70 percent refining capacity. It said the refinery would focus on producing diesel, low pour fuel oil, kerosene, and Straight-Run Gasoline (naphtha), which can be blended into petrol. It was expected to release about 200 trucks of petrol daily into the market.

However, questions have continued to rise over the facility’s actual performance. Industry observers believe the failure to meet expectations just six months after reopening shows deeper structural and operational issues.

In response to allegations of sabotage, NNPC’s spokesperson, Olufemi Soneye, insisted the shutdown was a planned maintenance activity aimed at ensuring the long-term safety and effectiveness of the facility. He stated that the refinery remained “fully operational” up until the scheduled maintenance and that there were enough stocks of diesel, kerosene, and other products to avoid any shortage.

The shutdown of the Port Harcourt refinery has sparked widespread debate among stakeholders and the public, with many demanding more transparency and accountability in Nigeria’s refining sector. The event has also renewed calls for the Federal Government to prioritise proper planning and timely execution of projects in the petroleum industry.

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