The Nigerian National Petroleum Company Limited (NNPCL) has announced that it is set to conclude a test run at the 60,000 barrels-per-day (bpd) Port Harcourt refinery this month.
Femi Soneye, spokesperson for NNPCL, stated that the testing phase is a crucial step towards the refinery’s full operation, marking a significant milestone in its revival after a five-year hiatus.
Soneye emphasized the importance of the test run, noting that it signifies the efficient functionality of the refinery, which ceased operations five years ago.
The spokesperson confirmed that the testing phase would be completed by the end of January 2024.
In December, the state-owned oil corporation had declared the mechanical completion of the rehabilitation work on Area-5 Plant at the Port Harcourt refinery.
The completion of the initial phase was announced, with plans to refine 60,000 barrels of crude oil per day after the Christmas break.
The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, highlighted that the first phase of the Port Harcourt Refinery Company (PHRC) was successfully completed on December 20, 2023.
He indicated that the production of refined products is expected to commence following the holidays.
The revival of the Port Harcourt refinery is seen as a crucial step in reducing the strain on Nigeria’s foreign exchange reserves, especially when considered alongside the anticipated commencement of operations at the Dangote Refinery later this year.
While the operational refineries are expected to contribute to a reduction in the cost of refined products, experts caution that it may not lead to a massive price crash.
