Oil Marketers Reject NNPC’s Stance on P/H Refinery

The Nigerian National Petroleum Company Limited (NNPC) Ltd is facing a barrage of criticism after it ruled out sale of the Port Harcourt Refining Company, reaffirming its commitment to completing high-graded rehabilitation and retention of the plant.

The Group Chief Executive Officer (GCEO) of NNPC Limited, Bashir Bayo Ojulari, announced this at a company-wide town hall meeting on Tuesday at the NNPC Towers, Abuja. He stated that the position isn’t a shift. Rather, it is informed by ongoing detailed technical and financial reviews of the Port Harcourt, Kaduna and Warri refineries.

In a swift reaction Dr. Joseph Obele, Stakeholder in the Community and National Public Relations Officer (PRO) of the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) strongly disagrees with the Company’s decision to rule out the sale of the Port Harcourt Refining Company. This isn’t good news, opined Obele, arguing why there are plans to sell Warri and Kaduna refineries while keeping Port Harcourt under NNPC management.

He expressed worries given NNPC’s history of corruption and favoritism.

“Private firms tend to prioritize host communities’ interests, as seen with Indorama Petrochemical.

“The NNPC has consistently disappointed Nigerians with its inefficient management of refineries, leading to fuel scarcity, price hikes, and economic hardship. Its track record of corruption, inefficiency, and neglect is well-documented. It’s time for a change.

“Privatization of the Port Harcourt Refinery would bring numerous benefits, including: Increased efficiency and productivity, Much-needed investment and capital injection, Expertise and technology transfer, Job creation and economic growth for the local community, Reduced bureaucratic red tape and corruption, Improved accountability and transparency, Enhanced competitiveness in the global market, Better management and utilization of resources, Increased revenue generation for the government and Improved product quality and supply.” he said.

According to him, The gains of privatization would far outweigh the costs, and it is in the best interest of the community and the nation at large. Dr. Joseph Obele calls on President Bola Tinubu to intervene by directing that the Port Harcourt Refinery should be privatized alongside the others, in the interest of transparency, efficiency, and economic growth.

He said the community is ready to receive a private firm taking over the refinery with the highest sense of hospitality and cooperation, adding, “We assure any private firm of a warm welcome and collaborative working relationship to ensure the refinery’s success, which will in turn benefit our community and the nation.”

The NNPCL however said the ongoing review indicates that the earlier decision to operate the Port Harcourt refinery prior to full completion of its rehabilitation was ill-informed and sub-commercial, Ojulari said.

Although progress is being made on all three refineries, the emerging outlook calls for more advanced technical partnerships to complete and high-grade the rehabilitation of the Port Harcourt refinery. Thus, selling is highly unlikely as it would lead to further value erosion.

The announcement comes in the wake of widespread speculation following his remarks at the 2025 OPEC Seminar in Vienna, Austria earlier this month, where he said during an interview with Bloomberg that “all options are on the table.” The comment sparked speculation and headlines about the future of the nation’s refining assets.

The declaration was received with applause from hundreds of staff attendees, who described the position as a renewed sense of business-focused direction across the organisation.

The town hall served as more than a performance update—it was an opportunity for candid and constructive engagement. The Executive Vice Presidents presented progress reports from the Upstream, Downstream, Finance, Business Services, Gas, Power, and New Energy businesses, highlighting operational achievements, ongoing reforms, and areas requiring attention.

In a tone marked by honesty and leadership, challenges and earlier missteps were acknowledged, and a clear roadmap was outlined for the journey ahead.

The announcement reinforces NNPC’s mandate as a strategic custodian of national energy infrastructure and reflects a firm resolve to deliver on the complete rehabilitation and long-term viability of Nigeria’s refineries. It also signals continuity in the Federal Government’s broader energy security objectives and a commitment to retaining critical assets under national control.

Feedback during and after the session revealed a workforce energised and aligned with the leadership’s vision. Described as “reassuring,” “transformational,” and “sustainable,” the atmosphere reflected an optimist outlook among employees and hopefulness about the company’s evolving strategic direction.

The NNPC Ltd will continue to reposition itself as a commercially driven, professionally managed national energy company, grounded in transparency, focused on performance, and unwavering in its responsibility to its number one stakeholder group, Nigerians, Ojulari concluded.

Source: Orientalnews.ng