The Port Harcourt Refining Company Limited has taken delivery of the Nigerian National Petroleum Company Limited (NNPCL) crude oil supply for test-running.
According to reports, oil marketers who confirm the development also noted that the refinery will supply refined products, including Premium Motor Spirit (petrol) and Automotive Gas Oil (diesel), to 12 states comprising; Abia, Rivers, Akwa Ibom, and Delta among others.
According to the reports, the ongoing test-running phase of the refinery is expected to be completed shortly as the commercial production of refined products is set to commence.
The rehabilitation work on the Area-5 Plant of the Port Harcourt Refining Company was announced as mechanically completed on December 21, 2023, with the facility set to refine 60,000 barrels of crude oil daily.
The Minister of State for Petroleum Resources (Oil), Senator Heineken Lokpobiri, confirmed that the first phase of the Port Harcourt Refining Company was completed on December 20, 2023.
He announced that the production of refined products would commence after the Christmas break.
NNPCL Chief Corporate Communications Officer, Olufemi Soneye, stated that the refinery is undergoing testing, adhering to international best practices.
He assured Nigerians that the plant would commence commercial production of refined products shortly.
Oil marketers, including the President of the Petroleum Products Retail Outlets Owners Association of Nigeria, Billy Gillis-Harry, confirmed that the Port Harcourt refinery has started receiving crude oil.
Gillis-Harry also confirmed that testing is ongoing to ensure that the refinery is in the state to function efficiently.
Analysts and downstream operators say although the coming on stream of both the Port Harcourt and Dangote refineries would help reduce the cost of refined products, this may not immediately lead to a massive price crash.
The allocation of 60,000 barrels per day for the Port Harcourt refinery is expected to meet the demands of several states, contributing significantly to the availability of petroleum products for domestic consumption.
The second phase of the Port Harcourt refinery is slated for completion in the fourth quarter of 2024, with a refining capacity of 150,000 barrels per day.
Meanwhile, the Group Chief Executive Officer of NNPC, Mele Kyari, commended the progress and commitment to the refinery’s rehabilitation during the announcement of the mechanical completion of the first phase.
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