Despite over $3bn spent on rehabilitation, Nigeria’s refineries in Port Harcourt, Warri, and Kaduna remain idle, with workers reportedly resuming and closing at will due to a lack of activity.
Findings by Sunday DIP CONNECTS revealed that the facilities have not recovered, and the Economic and Financial Crimes Commission (EFCC) is investigating alleged mismanagement of funds linked to the failed projects.
A History of Waste
Nigeria, Africa’s top oil producer, still imports nearly all its refined fuel, costing billions in lost revenue and sparking decades-long corruption allegations. Since the early 2000s, the Nigerian National Petroleum Company Limited (NNPCL) has launched repeated rehabilitation efforts, but promises of revival remain unfulfilled.
In May 2025, the EFCC interrogated recently sacked NNPCL managing directors and top officials over alleged mishandling of the $3bn allocated to revamp the refineries.
Port Harcourt Refinery: False Starts, Empty Depots
Located in Alesa, Eleme, Rivers State, the Port Harcourt Refining Company (PHRC) comprises a 60,000 bpd plant (1965) and a 150,000 bpd facility (1989), with a combined 210,000 bpd capacity.
Once a hub for petrol, diesel, kerosene, and petrochemicals, the refinery shut down in 2019. A $1.5bn rehabilitation was expected to restore operations by 2025. In late 2024, then-NNPCL CEO Mele Kyari announced resumption at 70 per cent, projecting millions of litres in daily output. But operations stalled after brief runs.
By May 2025, NNPCL announced a 30-day shutdown for maintenance. Stakeholders expressed shock in June, accusing the company of deceiving Nigerians. Though NNPCL dismissed reports of inactivity, visits to the site showed idle plants and sleeping workers.
By August 2025, NNPCL admitted errors in the $1.5bn works and confirmed the rehabilitation remained incomplete. Sunday DIP CONNECTS latest visit found the refinery dormant, with only diesel trucked from old stock.
Marketers described the situation as regrettable. One, identified as Toku, said:
“Since Kyari came, only a few trucks were loaded. About three months ago, they loaded some DPK and AGO, but now it’s just AGO from old stock. The refinery is not working.”
Another marketer alleged the loading bay was faulty and that only major firms like NNPC and Oando were lifting products, leaving independent marketers to rely on cheaper private depots.
Warri Refinery: Brief Revival, Swift Collapse
The Warri Refining and Petrochemical Company, established in 1978 with a 125,000 bpd capacity, has similarly failed despite rehabilitation promises. Once producing fuels and petrochemicals such as polypropylene and carbon black, the plant is now largely idle, with earlier signs of revival quickly collapsing.
ADEOLA KUNLE
