President Bola Tinubu has expressed his profound joy at the re-opening of the Warri Refining and Petrochemical Company by the Nigerian National Petroleum Company Limited....Read Full Article >>➤
A statement by the Special Adviser to the President (Information & Strategy), Bayo Onanuga on Monday, described the development as another remarkable achievement in 2024 that has strengthened Nigerians’ hope in his administration.
“Today, the Warri Refinery returned to operation weeks after NNPC Limited restarted the 60,000 Barrels per day at the Port Harcourt Refinery in November.
“With Warri Refining and Petrochemical Company (WRPC) going into operation after several years of inactivity, President Tinubu has once again expressed his administration’s determination to ramp up local refining capacity and make Nigeria a hub for downstream industrial activities in Africa.
“The All Progressives Congress-led administration of President Muhammadu Buhari awarded the contract for the complete rehabilitation and overhaul of the four state-owned refineries,” the statement said.
President Tinubu noted with confidence that with the 125,000 (bpd) Warri Refinery now operating at 60% capacity, his administration’s comprehensive plan to ensure energy efficiency and security is entirely on course.
He praised the Mele Kyari-led management of the NNPCL for working hard to restore Nigeria’s glory and pride as a major oil-producing country.
“The restart of Warri Refinery today brings joy and gladness to me and Nigerians. This will further strengthen the hope and confidence of Nigerians for a greater and better future than we promised. This development is a remarkable way to end the year following the feat recorded earlier with the old Port Harcourt Refinery. I am equally happy that NNPC Limited is implementing my directive to restore all four refineries to good working condition.
“I congratulate Mele Kyari and his team at NNPCL for working hard to restore our national pride and make Nigeria a hub for crude oil refining in Africa,” President Tinubu said.
President Tinubu enjoined NNPCL to accelerate repair work on Kaduna Refinery and the 150,000 (bpd) second refinery in Port Harcourt to consolidate Nigeria’s position as a global energy provider.
WRPC will focus on producing and storing critical products, including Straight Run Kerosene (SRK), Automotive Gas Oil (AGO), and heavy and light Naphtha.
NUPENG hails re-streaming of Warri Refinery, calls it a new era
Also, the Nigeria Union of Petroleum and Natural Gas Workers has commended the successful re-streaming of the Warri Refinery and Petrochemicals Company, describing it as a significant milestone in the Nigerian oil and gas industry.
In a statement signed by its President, Williams Akporeha, and General Secretary, Afolabi Olawale, NUPENG lauded the leadership and commitment of Mele Kyari, the Group Chief Executive Officer of the Nigerian National Petroleum Company Limited for spearheading transformational changes in the sector.
The union highlighted that the re-streaming of the Warri Refinery follows the successful revival of the Port Harcourt Refinery a month earlier, both achievements reflecting the Renewed Hope Agenda of President Bola Ahmed Tinubu’s administration.
The statement read, “On behalf of the National Executive Council (NEC) and the entire membership of NUPENG, we extend our heartfelt congratulations to the Group Chief Executive Officer, Mr. Mele Kyari, and the management of the NNPCL on the successful re-streaming of the Warri Refinery and Petrochemicals Company after several years of dormancy.
“This remarkable achievement is a testament to the transformative agenda of President Tinubu’s administration in the Oil and Gas Industry. The revival of the Warri Refinery marks another significant milestone, instilling renewed confidence and optimism within the sector.”
NUPENG pledged to continue its collaboration with stakeholders to advance the Nigerian oil and gas industry.
“We look forward to sustained progress and cooperation in our shared mission to enhance the sector,” the statement concluded.
The union’s endorsement underscores the growing optimism in the industry as Nigeria’s refineries gradually return to operational capacity.
In the same vein, the Chairman of Warri South Local Government Area in Delta State, Agbateyiniro Isaac, on Monday, expressed excitement following reports that the Warri Refining and Petrochemical Company, has been resuscitated by the Nigerian National Petroleum Company Limited.
The Council Chairman, in reaction to the announcement of the Warri refinery resuscitation, described the development as “reassuring”.
According to him, “With the development, the task of resetting the nation’s economy on a progressive path is on course”.
The Warri South LGA boss, while commending the management of NNPCL for the feat, enjoined the company not to rest on its oars “until WRPC works to its fullest capacity”.
He also tasked all stakeholders, including people of the host and surrounding communities, to sustain the enabling environment for WRPC to compete favourably with its contemporaries.
Petroleum Price Wars to Persist, Says Prof Oke
Also, an energy expert, Yemi Oke, has projected that competition within Nigeria’s petroleum sector will persist, driving further changes in the prices of Premium Motor Spirit.
Speaking on a live television programme to review the energy sector’s performance in 2024, Professor Oke noted that recent trends indicate a competitive environment that benefits consumers.
“We have seen increased competitiveness in the petroleum sector, which is driving the pump price of Premium Motor Spirit (PMS) downward. This trend will continue as more refineries, like BUA, scale up production capacity. It’s fundamentally a matter of demand and supply. As supply outpaces demand, prices will naturally drop,” he stated.
Nigeria has recently experienced a reduction in petrol prices due to intensified competition between the Dangote Refinery and the Nigerian National Petroleum Company Limited.
Last week, the NNPCL reduced its ex-depot price of petrol from N1, 020 to N899 per liter. Similarly, the Dangote Refinery, in partnership with MRS, set its retail price at N935 per liter, following an ex-depot price reduction from N970 to N899.50 per liter.
The Independent Petroleum Marketers Association of Nigeria welcomed these price adjustments.
IPMAN’s Public Relations Officer, Chinedu Ukadike, described the changes as a positive development for both consumers and independent marketers.
The Dangote Refinery, with a production capacity of 650,000 barrels per day is the largest single-train refinery globally and plays a critical role in shaping Nigeria’s petroleum market dynamics.
Professor Oke emphasized that crude oil prices hovering around $70 per barrel would likely result in further stabilization or a decline in petrol prices.
However, he noted that the NNPCL has yet to fully reflect these new prices at filling stations.
As competition in the sector deepens, experts and stakeholders anticipate continued benefits for Nigerian consumers, with the potential for more stable and affordable energy costs in the future.
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