By Haruna Salami
For the umpteenth time, the NNPC Group CEO, Mele Kyari has promised that the nation’s refurbished refineries will start production in early August 2024.
He stated this Monday at a critical meeting at the National Assembly between the Senate and House of Representatives Joint Committee on Finance with the Ministers of Budget and National Planning, Atiku Bagudu, Petroleum Resources (State) Heineken Lokpobiri, Finance, Wale Edun, Group Chief Executive Officer (GCEO, NNPCL) Mele Kyari, Chairman Federal Inland Revenue Service (FIRS) Zacch Adedeji and representative of CBN Governor, Mohammed Sani Abdullahi.
At the commencement of the meeting, chairman of the Committee, Senator Sani Musa (Niger East) put Kyari to task when he said Group CEO, we have not reached the questions and answers session, but for the benefit of the press that are here, I know that they are very keen to know if we will start our domestic production from our refineries that have been refurbished. So, if you can just give a word on that, then we now excuse the press so that we can go on to the closed session.
Kyari responded thus: “Yes, I’m aware that there are several comments in the public space around refining business and domestic production, including production that will come from the commissioned Dangote refinery. Yes, this country, as we have said, will be a net exporter of petroleum products by the end of this year.
“We’re very optimistic that by December this country will be a net exporter. That means a combination of production coming from us, and also from Dangote refinery and other smaller producing companies that we know are in line to do this.
“So I can confirm to you, Mr. Chairman, that by the end of the year, this country will be a net exporter of petroleum products.
“And specific to NNPC refinery. As you recall, and we have spoken to a number of your committees, that it is impossible to have the Kaduna refinery come to operation before December, it will get to December. Both Warri and Kaduna.
“Let me explain this very clearly. We did have mechanical completion of the Port Hacourt refinery, which means that every technical work that is required to get the refinery on to work has been completed. This is what we announced December last year, if you recall.
“Once you are mechanically completed for an existing refinery, even for new ones, there are a number of technical steps that you have to take when you are introducing hydrocarbon into this plant. It is only then that you will see the real challenges of even a new refinery. And I can confirm to you today that we have gone through this.
“We are already introducing hydrocarbon under a hot situation, that’s what we call it. And I’m very sure that latest by early August, the Port Hacourt refinery will start producing product.
“And of course, the new one will get to December. And Warri will also be in production. I’m very optimistic.
“I don’t have any confirmation at this moment, so that nobody quotes me and says, oh, you keep lying. No, we’re not lying to you, Mr. President. This is a technical process.
“We do our best of intention. You can put dates on a refinery start-up, but it is when you get to start-up that you see the real challenges, even for a new refinery. As you can see, even a new, Port Hacourt refinery, it really has to take steps and processes to get it to full operation.
“This is very normal in a refinery operation. So we don’t put hard date on it because there are things that you are never in control. Otherwise, I can confirm to you that we are taking every step to make sure that it works”.
He gave confirmation that NNPC and the oil and gas industry is very critical in bringing a turnaround in our current economic situation, and they understand the importance of this, adding “we are taking every step that is practical for us to achieve this”.
Representative of the CBN Governor, Mohammed Sani Abdullahi, Deputy Governor, (Economic Policy) expressed confidence that Nigeria will overcome the current economic challenges and come out stronger.
According to him, some of the challenges like inflation has been with us for decades, adding that “some of these challenges are what other countries go through”.
He was confident that the direction the country has taken is “positive”.
