The Independent Petroleum Marketers Association of Nigeria (IPMAN) has asserted that the August deadline for the commencement of operations at the Port Harcourt refinery is realistic.
The National operations controller of IPMAN, Zarama Mustapha asserted while speaking in an interview on Channels Television.
Mustapha stated that the refinery would produce all required petroleum products when it begins production.
Since the Federal Executive Council (FEC) approved $1.5 billion for the Port Harcourt refinery rehabilitation project in 2021, it has remained moribund, despite Nigerian National Petroleum Company (NNPC) Limited’s promises of timely completion by Group chief executive officer (GCEO) of NNPC Limited, Mele Kyari on March 15 revealed that the refinery would begin production by March end, but the development is yet to take place.
NNPC Limited GCEO then set another deadline, saying the refinery would begin operations in early August.
Speaking during the interview, Mustapha affirmed that NNPC would not miss the new deadline.
He said, “I am confident and optimistic that this August deadline is going to be realistic.”
“It will come on stream fully producing all the necessary components that refineries are supposed to produce.”
“At least, the capacity, 60,000 barrels can give you somewhere around 10 to 12 million litres of premium motor spirit (PMS).”
Mustapha noted that the refinery would drive down the current price of petrol, but this would depend on the cost price of crude at the international market.
Mustapha added that NNPC also has to pay the $1.5 billion loan borrowed for the project.
He said, “There is this understanding that the refinery is going to perform independently and sell at whatever the daily market price for them to recoup their cost and it is not going to be run like a government entity like it has been before.”
The executive expressed optimism that operationalisation of the refinery would boost daily petrol supply by 11 million litres to 15 million litres.
