The Port Harcourt refinery remains offline more than two months after a planned maintenance shutdown, fueling public concern over Nigeria’s refining capacity and intensifying scrutiny on the $3 billion spent on the rehabilitation of the country’s state-owned refineries.
The Nigerian National Petroleum Company Limited (NNPCL) halted operations at the 210,000 barrels-per-day Port Harcourt refinery on May 24, 2025, for what it described as “routine maintenance.” However, despite initial assurances that operations would resume within weeks, the facility remains shut down—just six months after its highly publicized restart in December 2024.
This delay comes amid a growing fraud investigation by the Economic and Financial Crimes Commission (EFCC), which is probing alleged mismanagement of funds allocated for the rehabilitation of the Port Harcourt, Warri, and Kaduna refineries.
EFCC Uncovers Massive Financial Irregularities
The EFCC investigation, which began earlier this year, centers on the use of approximately $3 billion allocated for the turnaround maintenance of Nigeria’s three major refineries. Of that amount, $1.56 billion was earmarked for the Port Harcourt plant alone.
On June 24, the anti-graft agency confirmed the arrest of Umar Ajiya Isa, a former Chief Financial Officer of NNPCL, along with Jimoh Olasunkanmi, a former Managing Director of the Warri refinery. Both men are accused of embezzlement, contract inflation, abuse of office, and diversion of public funds.
According to reports, one former refinery MD had ₦80 billion (approximately $20 million) traced to multiple personal bank accounts. The EFCC has frozen several accounts and restricted the travel of 16 suspects linked to the scandal.
Others under investigation include former Port Harcourt refinery executives Ahmed Adamu Dikko, Ibrahim Onoja, as well as top Warri and Kaduna refinery officials. Former NNPCL Group CEO Mele Kyari is also being scrutinized for his role in the disbursement and oversight of the funds.
Shutdown Sparks Public and Industry Outcry
The continued downtime has drawn sharp criticism from industry players, civil society organizations, and residents of host communities like Eleme and Okrika, who suspect foul play or gross mismanagement.
Many Nigerians had hoped that the December 2024 restart of the Port Harcourt refinery would reduce the country’s reliance on imported fuel and stabilize prices. At the relaunch, NNPCL promised daily outputs of 1.5 million litres of diesel, 1.4 million litres of petrol, 0.9 million litres of kerosene, and 2.1 million litres of low-pour fuel oil.
Instead, the refinery has now been idle for over two months, while the Warri refinery—which resumed production briefly in December 2024—has remained shut since January 2025 due to unresolved technical faults.
Fuel marketers under the Independent Petroleum Marketers Association of Nigeria (IPMAN) in Port Harcourt have reported rising diesel prices, accusing NNPCL of failing to fulfill bulk sales agreements. Diesel prices have jumped from ₦930 to over ₦1,130 per litre within weeks, prompting protests in Rivers State.
Community Fears and Allegations of Sabotage
Some local leaders and community groups have alleged that the extended shutdown may be a deliberate attempt to sabotage public refineries in favor of emerging private players, including the Dangote Refinery, which began test production earlier this year.
A media advocacy group in Port Harcourt warned that the current trajectory could push petrol prices as high as ₦2,000 per litre, further burdening Nigerians already struggling with inflation and currency devaluation.
“The government must come clean. If this refinery cannot function just months after commissioning, then someone must be held responsible,” the group said in a statement.
What Happens Next?
The EFCC has pledged a thorough audit of all funds disbursed for refinery rehabilitation. Legal proceedings are expected to begin in the coming weeks, and public pressure is mounting for the government to release the full forensic reports on refinery spending.
Meanwhile, questions remain unanswered: When will the Port Harcourt and Warri refineries resume operations? Will anyone be held accountable for the billions spent? And can Nigeria ever trust state-owned refineries to deliver energy independence?
Until then, Nigeria continues to rely on fuel imports to meet local demand—despite pouring billions into facilities meant to change that reality.
