ABUJA— The Nigerian National Petroleum Corporation, NNPC, yesterday, stated that the Port Harcourt Refinery will resume crude oil production by the end of June and will contribute about five million litres of Premium Motor Spirit, PMS, also known as petrol to Nigeria’s fuel supply.

Speaking during a tour of NNPC retail outlets in Abuja, Group Managing Director of the NNPC, Mr. Joseph Dawha, also assured Nigerians that the perennial fuel scarcity will be addressed before the end of the week, as it currently has about 1.1 billion litres of petrol in its storage, which is equivalent to 27 days sufficiency and has deployed 428 truckloads of fuel to Abuja and across the country, in conjunction with the Pipelines and Product Marketing Company (PPMC).

According to Dawha, the NNPC is carrying out a phased implementation of the rehabilitation of the refineries, stating that work at the Port Harcourt refinery is almost complete and will soon start producing at 80 per cent of its installed capacity, contributing about five million litres of PMS per day. He said: “We took a conscious decision that if the refineries are not in a good state to process crude for maximum gains, then there was no point in sending crude to the refineries. What we do is to try and fix it, so that by the time it starts processing the crude, then we get real value for the crude we have sent to the refineries.

“We are satisfied with the level of work carried out so far on the Port Harcourt refinery so that if we start processing crude now, we will get real value, and they will not be any value distortion that would have been the case if the refineries are not operating optimally.”
He, however, blamed the perennial fuel crisis situation in the country on distribution challenges recorded in some parts of the country, particularly in Lagos.

- Source: http://www.vanguardngr.com/2015/06/p-h-refinery-resumes-production-month-end-2/

Great News.

Why now?
Something they should have done tey tey.

The fear of GMB is the beginning of things being right

GMB is working, true nigerians are happy, tanoids are complaining,apcites are fighting

If this is true, then GEJ's tenure was a total failure.

You people are stupid

[size=20pt]NNPC TO REPAIR REFINERIES WITH $550m - GEJ[/size]

The Turn Around Maintenance (TAM) of the nation’s refineries will cost $550million, the Nigerian National Petroleum Corporation (NNPC) said yesterday.
The corporation blamed the TAM’s delay on the refusal of the original builders of the four refineries to handle the maintenance contracts.
There are two refineries in Port Harcourt, one in Kaduna and another in Warri. They are all working below capacity, unable to meet the consumption demands of Nigerians.

The Coordinator, Corporate Planning, and Strategy of the NNPC, Dr. Tim Okon, told the Senate Committee on Petroleum Resources (Downstream), in Abuja while defending the budget proposal of the corporation, that the NNPC had worked out an alternative local arrangement that would enable it refine about 400,000 barrels of crude oil daily after the completion of ongoing rehabilitation.
Okon, in company with the Group Managing Director of NNPC, Mr. Joseph Dawah, told the Senators that the corporation could not afford the exorbitant bills for their TAM from the original builders.

Okon said when the corporation invited the original builders from Japan and Italy for the TAM, they declined and instead, they recommended SAIPEM – a foreign firm operating in Nigeria – to carry out the TAM on their behalf.
He added that while the Port Harcourt and Kaduna refineries were built by two Japanese firms – Chioda and JGC, the Warri Refinery was built by Snapcogetti of Italy.

Okon said: “The refineries would work again at full capacity, we already have plans to bring them back to perform at full capacity.
He added that Saipem which was to carry out the TAM of the Port Harcourt refinery gave the agency a bill of $475m, but later reduced it to $297million after further negotiation.
He said the management considered the prices to be high and decided to look inward by inviting local contractors that are familiar with the facilities and worked with them.

He said, “Going forward, we have been able to reduce the cost of doing the TAM from $550m to $152million.
“We did a similar analysis for the Warri refinery and we brought it down to $180m from the $850million requested by Saipem.
“For the Kaduna refinery it was reduced from $600million to $212million.

“So we have been able to reduce the total cost of the TAM for the refineries to $550million.
“The exercise which started in October last year is for a period of 18 months and it will be completed in the first quarter of next year.
“The expenditure of $16million a month had been reduced to an average of $10million a month per a refinery.
“By the first quarter of next year, all the refineries will be functioning optimally and we would be able to refine an average of 400,000 barrels of crude oil per day for local consumption.

“However, another advantage of what we are currently doing is that instead of shutting down the facilities while the TAM lasted, we will be producing even when the rehabilitation work is ongoing.

http://thenationonlineng.net/…/nnpc-to-repair-refineries-w…/