The Nigerian government has approved the sum of $1.5bn for the rehabilitation of the Port Harcourt Refinery, the junior minister in charge of the oil ministry has said.
Timipre Sylva, the Minister of State for Petroleum Resources, announced this to journalists at the end of the Federal Executive Council meeting presided over by President Muhammadu Buhari at the Council Chamber, Presidential Villa, Abuja, on Wednesday.
Sylva said that the rehabilitation will be done in three phases. It is to start immediately, to be handled by an Italian firm, Tecnimont S.P.A.
He explained that the first phase would be completed in 18 months, the second phase in 24 months, and the final phase would be within 44 months.
Nigeria has four refineries with a combined refining capacity of 445,000 barrels of crude oil per day, but none of them is functional. This has left the country, a leading oil producer, to depend on imported refined products.
Sylva assured that the other three refineries will be resuscitated before the end of Buhari administration in May 2023.
“The Ministry of Petroleum Resources presented a memo on the rehabilitation of Port Harcourt refinery for the sum of $1.5 billion, and that memo was $1.5 billion and it was approved by council today(Wednesday),” Sylva said.
“So we are happy to announce that the rehabilitation of productivity refinery will commence in three phases. “The first phase is to be completed in 18 months, which will take the refinery to a production of 90% of its nameplate capacity.
“The second phase is to be completed in 24 months and all the final stage will be completed in 44 months and consultations are approved. “And I believe that this is good news for Nigeria.”
