By Joke Kujenya
THE PORT Harcourt Refining Company (PHRC) has not commenced bulk sales or activated its purchase portal as essential operational processes are still underway.
Currently, all available products are sourced from the Dangote Refinery and include applicable NMDPRA fees. At this stage, PHRC’s products are limited to its retail outlets. Pricing is reviewed and adjusted periodically to reflect operational realities.
In a statement issued by Olufemi Soneye, Chief Corporate Communications Officer, NNPC Ltd, on Friday, November 29, 2024, the public was advised to ignore misleading information regarding pricing. Official updates, including potential price changes, will be communicated through authorised channels. The statement also expressed appreciation for the understanding and support of Nigerians.
Operational Issues in Focus
THE NIGERIAN National Petroleum Corporation Limited (NNPC) has disclosed that the Port Harcourt Refining Company (PHRC) is grappling with operational challenges following its reopening on November 26 after years of inactivity.
The state-owned refinery is currently facing calibration delays and relying on old fuel reserves, raising concerns about its readiness for sustained production.
Workers at the refinery’s Area 5 terminal revealed that fuel being loaded onto trucks originates from “dead stock” stored before the facility’s 2015 shutdown.
Also, an official stated that these reserves, which include Premium Motor Spirit (PMS), Dual Purpose Kerosene (DPK), and Automotive Gas Oil (AGO), were retrieved from storage tanks during rehabilitation.
“The products require de-watering to remove impurities before they are market-ready. Fresh stock cannot be processed or loaded until the tanks are thoroughly cleaned,” a worker explained.
Although the NNPC claims the refinery is operating at 70% capacity with plans to increase this to 90%, industry observers remain skeptical. Reports highlighted the refinery’s dependence on outdated manual equipment, which lags significantly behind modern digital systems.
PETROAN Confirms Price Reduction Amid Refinery Struggles
MEANWHILE, THE Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) confirmed a reduction in petrol prices at the Port Harcourt Refinery.
Billy Gillis-Harry, PETROAN President, announced that the price of Premium Motor Spirit (PMS) dropped from ₦1,045 to ₦1,030 per litre, generating mixed reactions among marketers.
“We welcome this reduction and hope for further decreases,” Gillis-Harry stated during a strategic meeting in Abuja.
However, marketers raised concerns over irregularities in fuel availability from the refinery. Findings indicate that ongoing calibration and rehabilitation works are hampering efficient operations.
PETROAN has urged the NNPC to expedite processes to ensure consistent supply and equitable pricing.
Moreover, a recent visit by the Senate Committee on Petroleum underscores the urgency of addressing these challenges. The committee’s findings are yet to be released, leaving stakeholders awaiting transparency in fuel pricing and operations.
Questions Over NNPC’s Claims on Refinery Operations
THE RELAUNCH of the Port Harcourt Refinery has sparked controversy, with conflicting reports on its output.
While the NNPC claimed daily fuel loading operations, workers and local stakeholders offered a different perspective.
During a visit to the refinery, journalists observed minimal activity. Workers disclosed that earlier fuel shipments came from old reserves rather than freshly refined products.
“What was loaded were remnants stored before the shutdown. Calibration and tank cleaning are still ongoing,” an official stated anonymously.
Furthermore, NNPC spokesperson Olufemi Soneye dismissed allegations of inactivity, describing them as misinformation.
He explained that the old and new Port Harcourt refineries operate as an integrated unit, sharing utilities and storage tanks.
However, Soneye did not directly address concerns regarding the reliance on outdated reserves or the delays in loading operations.
Residents near the refinery expressed their frustration over the inconsistencies.
“They reopened the refinery with much fanfare, but nothing significant has happened since,” a local resident said, urging the NNPC to address discrepancies and rebuild public trust in the refinery’s operations.
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