The Group Chief Executive Officer of Nigerian National Petroleum Company (NNPC) Limited, Engr. Bayo Ojulari, said the reoperationalisation of the Port Harcourt Refinery and Petrochemical Company resulted in financial losses and “waste” of resources, according to remarks he made at the 2026 Nigerian International Energy Summit in Abuja.
Ojulari said detailed reviews of the refinery’s operations showed it was operating at a significant loss to Nigeria, with utilisation around 50–55 per cent despite regular crude supply, and that continued operation without clear prospects for profit was not sustainable.
The Port Harcourt Refinery, which had been rehabilitated at a reported cost of about $1.5 billion and reopened in November 2024, was shut down again in May 2025 after sustained financial losses.
Ojulari explained that effective refinery operations require adequate financing, competent engineering, procurement and construction capacity, and strong operational expertise. Resources he said NNPC presently does not fully possess.
As a result, the company is seeking partnerships with experienced refinery operators to manage refining assets rather than running them directly.
The NNPC CEO also noted that the Dangote Refinery had provided some relief as it continued to operate during the period when state-owned refineries were shut down, offering a source of refined petroleum products while the review of NNPC’s facilities took place.
