By Michael Eboh

Fourteen months after the advent of the current administration, the three refineries belonging to the Nigerian National Petroleum Corporation, NNPC, are yet to be fixed, with the refineries producing an average of 47,553 barrels of crude oil per day (BPD) over the last one year.

This is a far cry from their combined installed capacity of 445,000 barrels of crude oil per day (BPD). Port Harcourt Refining Company, which is made up of two refineries, has a combined capacity of 210,000 barrels per day (BPD); while Kaduna Refining & Petrochemical Company Limited (KRPC) and Warri Refining & Petrochemical Company Limited (WRPC) have installed capacities of 110,000 BPD and 125,000 BPD respectively.

A document obtained from the NNPC, yesterday, revealed that the refineries are still undergoing repairs, rehabilitation and Turnaround Maintenance (TAM), a situation that ensured that local refining capacity remained below commercial threshold.
According to the document, the NNPC said refineries rehabilitation is on course to address the perennial shortage of fuel in the country, noting that this was in addition to co-locating of smaller refineries to leverage on the existing facilities and boost the nation’s refining capacity from 445,000 barrels per day to 650,000 barrels per day.

This is continuation of the trends witnessed in previous administrations, where the refineries were subjected to unending repairs and TAMs, with billions of dollars allocated on a yearly basis for such rehabilitations.

However, efforts to get the spokesperson of the NNPC, Mr. Muhammed Garba-Deen to comment on the never-ending repairs of the refineries and their current status proved abortive, as they refused to respond to text messages sent to their phones.

However, the NNPC, in its Financial and Operations Report for the Month of June 2016 released weekend, stated that about 75.26 per cent of the total Domestic Crude Oil supply for May 2016 was utilized via Direct-Sale-Direct-Purchase (DSDP). The DSDP was introduced by the NNPC to replace the crude oil for product exchange arrangement, also known as crude oil swap, and the Offshore Processing Agreement (OPA).

The NNPC allocates 445,000 barrels of crude oil daily to the refineries for local consumption, majority of which are processed outside the country, based on the arrangements in place at that point in time; while only an insignificant portion is processed by the refineries, based on their capacities at any point in time.

Also, the NNPC disclosed that total crude oil processed by the three refineries, KRPC, PHRC and WRPC, for the month of June 2016 was 225,770 metric tonne (MT) and equivalent of 1,655,345.99 barrels. This translates to an average production of 55,178 barrels daily.

Out of the total of 225,770 MT processed by the refineries in June, the NNPC stated that they produced 133,991 MT of finished Petroleum products, an equivalent of 982,422 BPD. This translates to an average daily output of 32,747 BPD of petroleum products.

The NNPC blamed the poor performance of the refineries on crude pipeline vandalism in the Niger Delta region coupled with on-going Refineries revamp; noting, however, that the three refineries continue to operate at minimal capacity.

The Minister of State for Petroleum Resources, Mr. Ibe Kachikwu, had on different occasions stated that the refineries returned to production, while at one point, he said the country needs about $700 million to upgrade and fix the refineries.

However, the recently appointed Group Managing Director of the NNPC, Mr. Maikanti Baru, had a few days ago, stated that the corporation would collaborate with the Spanish National Oil Company, REPSOL, to improve the technical capacities of the refineries.

Baru hinted that the NNPC might consider bringing in petroleum products to the country from REPSOL to help meet domestic demand of the product, while efforts are made to fix the refineries.
According to him, NNPC as an integrated Oil and Gas Company is currently undergoing transformation which includes increasing its refining capacity.

He said, “As you know, we have challenges with our refineries and with REPSOL refining about 900,000 barrels of crude oil per day, we can collaborate on that, going forward.
“While we are fixing our refineries, we also have the opportunity to bring in more petroleum products into the country to meet our domestic needs.”

http://www.vanguardngr.com/2016/08/14-months-fg-yet-fix-refineries/

I still remember how zombies were foaming in the mouth when Kachikwu said then that Kaduna Refinery will soon start full operation. Abeg, wetin happen to the Refinery nah

Zombie nah zombie walahi

Privatize refinery na? Wahala


Oya do Turn around maintenance. Problem



Oya sign licenses for local refineries to exand, na waec be that.


Ok train these youths to become industry experts, they rather send their children abroad.



Long Live Buhari, Long live The Federal Republic of Nigeria..

What is the point repairing a PlayStation 1 when there is a PlayStation 4 you can buy for the same cost.

Those refineries should be privatized.

Hmmm is well oo

I thank God that he has cured me of Buharism, If by now anyone has not been cured of Buharism it's either that you have very low IQ or you are being paid to prop the image of the failed President of Nigeria . Buhari was a myth, a lie ,a fable that has been busted period .

change

Northern Nigeria Petroleum Corporation

Nothing seems to be working any longer in this country

How come we find ourselve in this pathetic situation? Things has never been this bad.

This is exactly the repeat of 1983 and I think it is high time the military came to our rescue.

Buhari is a silly dullard

When a dullard lead, the nation perich!

Buhari is an epitome of dullardism

Frofaganda Gowment

PaulIdu:
I thank God that he has cured me of Buharism, If by now anyone has not been cured of Buharism it's either that you have very low IQ or you are being paid to prop the image of the failed President of Nigeria . Buhari was a myth, a lie ,a fable that has been busted period .

I thank God for u bro

cc: NgeneUkwune, omenka, Progressive, PassingShot, Mynd44, HungerBad, and all other league of Zombiiiiiis

I don't know about others but KRPC kaduna has been working in the last couple of months save some few weeks back, but as at Sunday when I travelled Abuja kaduna route I saw the fire and black fumes back on.

JuliettaBitch:

I thank God for u bro

cc: NgeneUkwune, omenka, Progressive, PassingShot, Mynd44, HungerBad, and all other league of Zombiiiiiis

The names here are really epitome of zombiesm

See their faces

Who doesn't know that APC is a disgrace to governance?

A government of propaganda and deception sandwiched with lies and tyranny!

Like play like play 4 years will go and APC can't achieve any thing positive to better the lives of the electorates!

Maisuya1:
I don't know about others but KRPC kaduna has been working in the last couple of months save some few weeks back, but as at Sunday when I travelled Abuja kaduna route I saw the fire and black fumes back on.

Zombie, let me enlighten you.
Take for instance, when a refinery that is supposed to be producing over 50k litres per day now struggles with 10 litres per day, do you call that a "working" refinery?

Just watch how the Afonjas will justify this unfulfilled promise to build refineries

Maisuya1:
I don't know about others but KRPC kaduna has been working in the last couple of months save some few weeks back, but as at Sunday when I travelled Abuja kaduna route I saw the fire and black fumes back on.

Maisuya. That says it all

ConqueredWest:
Just watch how the Afonjas will justify this unfulfilled promise to build refineries

They dare not complain about their "lord"

They will rather die while still defending the dullard just like the one below

omcnka:
Maisuya. That says it all

omenka, is this you?

The change is finally real

ConqueredWest:
Just watch how the Afonjas will justify this unfulfilled promise to build refineries

they fit? Make them come make we school them

JuliettaBitch:

Zombie, let me enlighten you.
Take for instance, when a refinery that is supposed to be producing over 50k litres per day now struggles with 10 litres per day, do you call that a "working" refinery?

Poor dear! You enlighten me on refining and petrochemicals? I deal directly with KRPC, how do you expect them to produce at optimal capacity when some miscreants are busy blowing its supply line.

The refineries functioning depend largely on crude oil supply which they are not getting at the moment. The supply lines have been under persistent bombing.

Zombies come and defend ur master

eziokwubundunuwa:
The refineries functioning depend largely on crude oil supply which they are not getting at the moment. The supply lines have been under persistent bombing.

Pipeline vandalism has been from time immemorial.
By the way, there is no excuse for failure

sosanova:

Zombies come and defend ur master

They are still rehearsing, thinking of who to blame

It is sweet to wail

Lalasticlala good evening

Directionless government with little or no idea on economy.

Nonsense

I saw this coming.

Believe the "All Promises Cancelled" government at your own risk.

Worst government ever.

eziokwubundunuwa:
The refineries functioning depend largely on crude oil supply which they are not getting at the moment. The supply lines have been under persistent bombing.

Zombie, the article says FG Yet to fix refineries after 14months, refineries still having the status of repairs and TAM. That the refineries are in good condition and not getting supplies are two different scenario. Hope u understand.

JuliettaBitch:

Pipeline vandalism has been from time immemorial.
By the way, there is no excuse for failure

I don't think there's any failure here as all the refineries are functional. In the past they weren't so we should Appreciate the present success. Next should be tackling sabotage not vandalism. There was no avengers in the past who bomb pipelines to cripple our economy. What we had was vandals who engaged in illegal stealing and sale of products. To stop the avengers forcefully will involve killing innocent people and destruction of innocent communities hence the dialogue and use if intelligence.

nezer83:


Zombie, the article says FG Yet to fix refineries after 14months, refineries still having the status of repairs and TAM. That the refineries are in good condition and not getting supplies are two different scenario. Hope u understand.

The refineries are in good condition but not optimal. The cost of transporting crude oil by barges with attendant logistics is the major issue they're having. Forget what Vanguard is reporting as it is biased. Go to Port Harcourt refinery and make enquiries directly to get the unbiased story.