Fuel marketers and industry stakeholders have expressed support for a new partnership aimed at restoring operations at Nigeria’s long-dormant Port Harcourt and Warri refineries.
The agreement involves the Nigerian National Petroleum Company Limited working with two Chinese firms under a technical equity model designed to rehabilitate, operate, and expand the facilities.
The partners, Sanjiang Chemical Company Limited and Xingcheng (Fuzhou) Industrial Park Operation and Management Co., Ltd., are expected to contribute technical expertise and investment, while also sharing in the operational outcomes of the refineries.
The Executive Secretary of the Major Energies Marketers Association of Nigeria, Clement Isong, said the arrangement could help unlock value from assets that have remained idle despite years of spending on maintenance and rehabilitation.
He noted that previous efforts to fix the refineries had not delivered lasting results, arguing that involving experienced operators with a financial stake in performance could improve efficiency and sustainability.
According to him, the new structure ensures that partners are motivated to keep the plants running effectively since their returns depend on output and performance.
Isong also suggested that the national oil company may require external technical capacity to successfully manage and operate complex refinery systems, making the partnership a practical step forward.
The Petroleum Products Retail Outlets Owners Association of Nigeria also welcomed the agreement, describing it as a major shift in Nigeria’s refining strategy.
The group said the model could improve accountability and operational discipline, which have been major challenges in previous refinery rehabilitation projects.
It also praised the government and NNPC leadership for adopting what it called a more results-oriented approach to fixing the country’s refining challenges.
Beyond technical benefits, stakeholders said the project could generate employment, reduce fuel imports, conserve foreign exchange, and support economic stability if successfully implemented.
The agreement covers not only rehabilitation but also long-term operation and maintenance of the refineries, which have a combined capacity of about 335,000 barrels per day.
Plans also include developing industrial and petrochemical hubs around the facilities, which could turn them into integrated energy centres.
Despite the optimism, concerns remain about how the new arrangement will align with previous refinery rehabilitation efforts and long-standing expectations for domestic refining recovery.
Still, supporters believe the partnership could mark a significant step toward restoring Nigeria’s refining capacity if properly executed.
