Port Harcourt, Nigeria – Barely three days after the Nigerian National Petroleum Company (NNPC) Limited celebrated the resumption of crude oil processing at the Port Harcourt Refining Company (PHRC), activities at the facility have reportedly come to a sudden halt.
On Friday, November 29, 2024, a visit to the refinery revealed an eerily inactive site, with no visible operations ongoing. Workers at the facility, speaking under anonymity, disclosed that the refinery is currently undergoing a calibration process, which could extend into the following week, according to Punch.
Claims of Dead Stock Evacuation
Contrary to the NNPC’s earlier statement that petroleum products like Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), and Household Kerosene (HHK) were being loaded from the refinery, reports suggest otherwise.
An anonymous refinery official clarified that the products loaded earlier in the week were “dead stock” – residual quantities left in storage tanks before the refinery’s shutdown between 2015 and 2016.
The source explained:
- These products included PMS, AGO, and Dual Purpose Kerosene (DPK).
- The PMS was considered “off-spec,” requiring separation from water and refinement to achieve the desired quality.
- DPK and other products were still stored and not yet ready for commercial distribution.
Before processing new crude oil, the refinery must clean and rehabilitate the tanks, removing debris and ensuring the tanks are ready for fresh stock.
NNPC’s Claims and Rebuttals
The NNPC’s Chief Corporate Communications Officer, Femi Soneye, had on Tuesday, November 26, announced that the refinery was operating at 60% capacity, processing 60,000 barrels per day. He dismissed skepticism regarding the refinery’s operational status, attributing such claims to “mischief and ignorance.”
Soneye emphasized the integration of the old and new Port Harcourt refineries, which now share utilities, storage tanks, and a loading terminal, making it challenging to pinpoint which facility is producing or storing specific products.
However, Punch reports suggest discrepancies between these claims and ground realities, particularly regarding the nature of the products being loaded.
Community Concerns
Local leaders, including Alesa community representative Timothy Mgbere, had earlier raised doubts about the refinery’s readiness, suggesting that it was not yet producing fuel.
These allegations have fueled concerns about transparency in the rehabilitation process of the PHRC, a project aimed at bolstering Nigeria’s domestic refining capacity and reducing dependency on fuel imports.
What’s Next?
The ongoing calibration process and tank cleaning suggest that the PHRC is still in a transitional phase. The true test of its rehabilitation success will be evident once it begins processing crude oil consistently and producing commercially viable products.
For now, stakeholders are left awaiting clarification from the NNPC and PHRC officials on the actual state of operations and timelines for full-scale production.