NNPC raises funding in non-working refineries to N2.92tn

The Nigerian Nationwide Petroleum Firm Restricted elevated its funding within the nation’s three non-operational refineries to N2.92tn in 2024, although the services have but to renew regular manufacturing after years of rehabilitation delays and repeated shifts in authorities timelines.

Figures contained within the firm’s audited 2024 monetary statements present that complete investments within the Port Harcourt, Kaduna, and Warri refineries rose from N1.72tn in 2023 to N2.92tn in 2024.

This represents a rise of N1.196tn or 69.5 per cent inside one yr. The information seem underneath funding in subsidiaries within the firm’s separate monetary statements.

Funding in Port Harcourt Refining Firm elevated from N674.32bn in 2023 to N1.143tn in 2024. This can be a rise of N469.16bn, which quantities to 69.6 per cent. Kaduna Refining and Petrochemical Firm noticed funding enhance from N641.71bn to N1.088tn, an increase of N446.48bn, or 69.6 per cent. Warri Refining and Petrochemical Firm additionally recorded a rise in funding from N402.96bn to N683.33bn, a rise of N280.37bn, or 69.6 per cent.

The upper funding values come at a time when not one of the government-owned refineries has returned to business exercise.

Nigeria has struggled for many years to revive its ageing refineries regardless of a number of makes an attempt and billions of {dollars} spent on turnaround upkeep. The mixed nameplate capability of the Port Harcourt, Warri, and Kaduna refineries is about 445,000 barrels per day, but none have produced refined gas at a business scale in over a decade.

The investments additionally add to an extended historical past of heavy spending on the refineries, with little to point out for it in output. Earlier in August 2025, the Group Chief Govt Officer of the Nigerian Nationwide Petroleum Firm Restricted, Bayo Ojulari, acknowledged that fixing the nation’s refineries underneath NNPC’s administration has been tough as a consequence of a long time of neglect.

He additionally revealed that the NNPC is underneath assault from individuals who don’t have Nigeria’s greatest pursuits at coronary heart and oppose the continued transformation efforts within the firm.

He identified that Nigeria’s refineries had suffered years of neglect, making them difficult to revive regardless of big investments within the services positioned in Warri, Port Harcourt, and Kaduna.

“Some huge cash has been spent on these refineries. Nevertheless, it’s been very difficult to translate that cash into profitability. A part of the rationale might be described as when you might have an previous automobile, and also you park the automobile for a while with none greasing or oiling. The refinery has been tough to place again collectively due to years of neglect. And it’s been tough while you repair one factor, the opposite factor continues to be there,” he defined.

Ojulari disclosed that technical and business evaluations of the refineries had been accomplished, with a brand new mannequin being pursued. “We’ve now accomplished a business assessment for the Port Harcourt refinery. And from that business assessment, now we have concluded that one of the best ways ahead is for us to get a real skilled refining firm to hitch us and cooperate,” he mentioned.

He added that NNPC was leveraging its fairness within the Dangote Petroleum Refinery to diversify provide, whereas guaranteeing no scarcity of merchandise throughout the transition.

In October 2025, the Nigerian Nationwide Petroleum Firm Restricted mentioned it’s assessing the operational and business viability of its three main refineries in Port Harcourt, Warri, and Kaduna to find out whether or not to overtake or repurpose them for enhanced effectivity and profitability.

Based on the corporate, the continued technical and business assessment is a part of a broader plan to reposition the refineries as sustainable, revenue-generating belongings that may meet Nigeria’s gas demand and align with worldwide operational requirements.

Earlier in July 2025, the President of the Dangote Group, Alhaji Aliko Dangote, expressed doubt about the opportunity of the state-owned Port Harcourt, Warri, and Kaduna refineries returning to operation.

Dangote additionally acknowledged that the refineries, that are underneath the administration of the Nigerian Nationwide Petroleum Firm Restricted, had gulped as much as $18bn, but have refused to work.

“The refineries that we purchased earlier than, which have been owned by Nigeria, have been doing about 22 per cent of PMS. We purchased the refineries in January 2007. Then we needed to return them to the federal government as a result of there was a change of presidency.

“And the managing director at the moment satisfied Yar’adua that the refineries would work. They mentioned they simply gave them to us as a parting present or so. And as of right this moment, they’ve spent about $18bn on these refineries, and they’re nonetheless not working. And I don’t assume, and I doubt very a lot if they’ll work,” he mentioned.

Nevertheless, Ojulari mentioned the government-owned Port Harcourt, Warri, and Kaduna refineries will resume operations. Opposite to the views of the President of the Dangote Group, Aliko Dangote, that the refineries won’t resume operations, Ojulari mentioned the NNPC is decided to make sure they resume operations.