NNPC Ltd rules out sale of Port Harcourt Refinery, pledges full rehabilitation amidst mixed public reactions

Summary

• The Nigerian National Petroleum Company Limited (NNPC) Ltd has officially ruled out the sale of the Port Harcourt Refining Company, reaffirming its commitment to completing its high-grade rehabilitation and retaining the plant under national control
• Group Chief Executive Officer (GCEO), Bashir Bayo Ojulari, made the declaration on 30 July 2025, clarifying that the decision is informed by ongoing technical and financial reviews that indicate selling now would lead to “further value erosion
• While the announcement was met with applause internally at NNPC Ltd and praised by the Independent Petroleum Marketers Association of Nigeria (IPMAN), some energy analysts and segments of the public remain skeptical, citing a history of failed rehabilitation efforts and concerns over funding
• NNPC Ltd acknowledges past missteps, stating that operating the refinery prior to full rehabilitation was “ill-informed and sub-commercial,” and is now seeking “more advanced technical partnerships” to ensure long-term viability

Abuja, Nigeria – The Nigerian National Petroleum Company Limited (NNPC) Ltd has definitively declared that the Port Harcourt Refining Company is not for sale, putting an end to recent widespread speculation about its future. This significant announcement was made by the Group Chief Executive Officer (GCEO), Bashir Bayo Ojulari, during a company-wide town hall meeting held in Abuja on Tuesday, 30 July 2025.

Ojulari’s declaration follows a period of intense public discussion sparked by his earlier remarks at the 2025 OPEC Seminar in Vienna, where he indicated that “all options are on the table” regarding Nigeria’s refining assets. The GCEO clarified that the current stance is not a change in position but rather a decision informed by ongoing detailed technical and financial reviews of the Port Harcourt, Kaduna, and Warri refineries.

According to Ojulari, these reviews show that an earlier attempt to operate the Port Harcourt refinery before its full rehabilitation was “ill-informed and sub-commercial,” and that selling it now would ultimately lead to “further value erosion.”

Internally, the announcement was met with strong positive reactions, with hundreds of NNPC staff attendees reportedly applauding the decision. Employees described the position as a “renewed sense of business-focused direction” and an atmosphere reflecting an “optimistic outlook” and “hopefulness” about the company’s evolving strategic direction.

The Independent Petroleum Marketers Association of Nigeria (IPMAN) also commended the decision, asserting that with the project already “90 per cent completed,” selling it would be illogical. IPMAN believes the refinery should be seen through to completion by the original contractors.

However, the public response is not uniformly optimistic. Some energy analysts and segments of the public have expressed a degree of skepticism, a sentiment rooted in the long history of the nation’s refineries. There is a general concern about the consistent expenditure of public funds on the refineries, which have remained largely moribund for many years despite numerous rehabilitation efforts and billions of dollars in investments.

Energy analyst Kelvin Emmanuel, for instance, raised critical questions regarding the funding mechanism for the remaining rehabilitation work, asking, “What money is the company going to use to conduct the extensive rehabilitation? Is it planning to raise another crude-backed loan to finance it?”

Such questions reflect a broader public desire for transparency and accountability, particularly given past controversies surrounding refinery overhauls and alleged mismanagement.

Despite these concerns, NNPC Ltd reaffirmed its commitment to completing the high-grade rehabilitation and retaining the Port Harcourt plant as a strategic national energy infrastructure. The company emphasized that while progress is being made on all three refineries, the focus now is on securing “more advanced technical partnerships” to ensure their long-term viability.

This decision, the NNPC stated, aligns with the Federal Government’s broader energy security objectives and its commitment to maintaining national control over critical assets.

Ojulari concluded by reiterating NNPC Ltd’s dedication to repositioning itself as a commercially driven, professionally managed national energy company, committed to transparency, performance, and its responsibility to the Nigerian populace, its primary stakeholders.

The path forward for the Port Harcourt Refinery will now be closely watched, as the public balances internal optimism with a historical skepticism shaped by years of unfulfilled promises.