₦airaland Forum

As the Nigerian National Petroleum Company Limited continues its search for technical partners to operate the Port Harcourt, Warri, and Kaduna refineries, former President Olusegun Obasanjo has once again insisted that the facilities will never work.

Obasanjo spoke during a television interview aired on Saturday night by Sony Irabor Live, which was monitored by our correspondent.

He said, “One of the lessons that I learnt is that PPP (public-private partnership) works. Look, one project that has not been destroyed by the government in Nigeria is the NLNG (Nigeria Liquefied Natural Gas), where the private sector has 51 per cent, and the Nigerian government has 49 per cent.

“See what we did with Nigerian railways. See what we did with the national shipping company. See what we are doing now, even with the NNPC. The NNPC has refineries, and I said to people that it will never work. And a man had the audacity to say, ‘Am I a chemical engineer?”

Obasanjo spoke about his failed efforts to woo Shell, a global energy firm, into running the refineries. “Look, when I was there, I called Shell. I said, ‘Look, please, I beg you, come and take 10 per cent equity and run the refinery for us.’ They said no. I said, ‘Okay, if you don’t want to take equity, don’t take equity. Come and run the refineries. They said no,” he stated.

The former president narrated how he invited a top official of Shell for a one-on-one conversation to know why his offers were turned down.

“So, I called him, and I said, ‘Tell me, be honest with me. Why don’t you want to handle this?’ He said first, they want to let me know that they make most of their profits on the upstream, not the downstream.

He said they run their downstream without making a loss, but they don’t make a lot of profit from it. It’s more of a service than a major profit-making. So that’s number one.

“Number two: he said our refineries are too small. This was when I was an elected President. He said our refineries are too small. One is 60,000 barrels, and another is 100,000 barrels. He said refineries at that time were in the range of 250,000 barrels to 300,000 barrels. Number three: he said our refineries are not well-maintained. We call quacks and amateurs to come and maintain our refineries. The refineries are not in good order. He said, ‘Number four, there’s too much corruption around our refineries, and they don’t want to be part of that,” Obansanjo explained.

He recalled that he counted the country lucky then when the President of the Dangote Group, Alhaji Aliko Dangote, told him of the willingness to offer $750m to take 51 per cent of two of the facilities.

“Until one day, Aliko (Dangote) came and offered $750m to take two of the refineries; that will be 51 per cent. I said, ‘Wow, God, you are really a God of miracles.’ I told Aliko to bring the money quickly. They brought the money, and they paid,” he said.

However, the Balogun Owu explained further that his successor, the late Umar Yar’adua, reversed the deal after he left office, claiming he was under too much pressure from the NNPC

He mentioned that only the current NNPC Group Chief Executive Officer, Bayo Ojulari, has said the truth about the state of the refineries so far.

“When I left office, NNPC went to my successor and convinced him. So I got up. I went to Umar. I said, ‘Look, Umar, maybe you don’t know; this is why we did what we did.’ He said, ‘Well, NNPC came to me.’ I said, ‘But you know that NNPC cannot run this thing. He said he knew. I asked, ‘Then why did you give in? He said because of pressure. And I said, ‘Look, when you sell these refineries, you will not get 200 million (dollars) for them, because you will sell them as scrap.’

“Only the present NNPC head has told the country the truth. But in the meantime, I was told that they have spent about $16bn, which is only $4bn short of what Aliko used to build Africa’s largest refinery,” Obasanjo said.

In November 2025, the NNPC announced a fresh target of June 2026 to finalise the selection of technical partners for the refineries.

Ojulari said that despite the rehabilitation and reopening of the Port Harcourt and Warri refineries in 2024 before they were later reclosed, the facilities were operating “well below international standards”, making their products commercially uncompetitive, especially compared to the privately owned Dangote refinery.

Dangote said he built his refinery after the Yar’Adua administration reversed the sale of the NNPC refineries to him and his other associates. He is also of the opinion that the NNPC refineries may never work again.

The NNPC communications office has yet to respond to messages seeking reactions to the former president’s claims.

Source: https://punchng.com/nnpc-refineries-will-never-work-again-obasanjo

This is a very glaring truth but tinubu is deceiving his supporters with propaganda but fact have proven otherwise

Now he is talking non-stop! Failed father of Nigerian democracy!😆

You tried and gave your best to the country.
Posterity will remember you.
Atiku that you put in charge of privatisation messed up so many of them.
Thank God for Dangote refinery, we would have been buying petrol at 4-5,000/ litre by now.
Corruption killed NNPC, spending money on it is like a drain pipe. Better to scrap them and give more licenses for private refineries.

I remember when Obasanjo said this, useless data boys were all over the place insulting him even though they claim to have respect for elders. Wetin come happen last?

That's why an African adage says that what an elder sees sitting, data boys won't see it even if they climb Mt. Everest.

Nigeria is gone

NNPC IS LIKE A DARK TUNNEL. THE MORE YOU SHINE YOUR LIGHT, THE DARKER IT BECOMES.

Safe to say we were defrauded of another $16B and no one is facing consequences.

Words of an elder from the best president Nigeria of Nigeria 1999

The technology for Nigeria's refinery is outdated and not economical viable 📌💯. It's a total loss running it. We need a modern design, a new construction 🤷🏿

NNPC is a cesspool of corruption.

YaeAdua should never have reversed the sale of the refineeies.

Now That Tinubu APC Government is Distributing Branded Pants to Married Women. What Are They Up to?

Azzezza:
This is getting worse

Why would Baba OBJ say this? https://www.nairaland.com/8660864/uncovered-reason-why-allen-cole

We know that

Otilo.........

It can't work

I thought the present administration asked him to mind his business since he is not an Engineer? The funny part is that billions (in dollarsooo) were spent to revive this refinery and another money spent to drive propaganda. Reno Omokri even shamelessly went on the media to state that the refinery was working. Now we are now where we were before.

duduade:
Nigeria is gone

Just as you are GONE farewell

Saying it exactly the way it is doesn't always sit well with those with criminal motives.

Kanwulia:
Now he is talking non-stop! Failed father of Nigerian democracy!😆

But your messiah Tinubu that is deceiving your entire generation, is not failed as well..

Oga please Ronu!

Use that brain of yours for once

It’s understandable why former President Olusegun Obasanjo holds such a strong view about Nigeria’s refineries, given his past experience. But saying they will never work again may be too absolute—and perhaps overlooks what is still possible with the right approach.

First, the challenges he listed—poor maintenance, corruption, and outdated capacity—are real. Even Nigerian National Petroleum Company Limited has admitted the refineries are currently underperforming. However, those problems are not unique to Nigeria, and other countries have successfully revived aging refineries through proper reforms, transparent management, and credible technical partnerships.

Second, the global energy landscape has evolved since Obasanjo’s time in office. While major oil companies like Shell plc may prioritize upstream profits, there are now specialized refinery operators and engineering firms whose business is exactly this—turning around inefficient downstream assets. That’s precisely what NNPC is trying to tap into with its current search for technical partners.

Also, the success of the Nigeria LNG Limited project that Obasanjo referenced actually strengthens the case for reform rather than abandonment. It shows that with the right ownership structure, governance, and private-sector discipline, state-linked energy projects in Nigeria can work.

Then there’s the example of Aliko Dangote’s refinery. While it highlights how efficient private investment can be, it doesn’t necessarily mean public refineries are beyond saving—it simply raises the standard they must meet. Competing may be difficult, but not impossible, especially if the goal is to reduce import dependence and strengthen energy security.

In reality, the question isn’t whether the refineries can ever work again—it’s whether Nigeria is willing to implement the tough structural changes needed to make them work. That includes transparency, accountability, and possibly letting go of full government control.

So rather than writing them off completely, it may be more productive to see this moment as a test: can Nigeria finally fix what has long been broken, or will history repeat itself?

adenigga:
Source: https://punchng.com/nnpc-refineries-will-never-work-again-obasanjo

Maybe you weren't born or still runing around with your Pampas. You don't know OBJ

Kanwulia:
Now he is talking non-stop! Failed father of Nigerian democracy!😆

That man that said are you a chemical engineer who be wipe out with his entire generation and friends.

Leboska:
This is a very glaring truth but tinubu is deceiving his supporters with propaganda but fact have proven otherwise

Did you read the report at all or as usual you just jump to make comments.

Only the present NNPC head has told Nigerians the truth.

Yeah this shyt don’t work let it go





But you tryna force it still

16 billion dollars wasted, Currently if you come to Abuja you will count thousands of super luxurious mansions in estates that are unoccupied for years and you wonder who owns this estates, and they are still building more that above average earners like bankers, doctors can't even afford to rent and are forced to live in suburbs like lugbe and kubwa, so this is how they built those estates with corruptly enriched money

grandstar:
NNPC is a cesspool of corruption.

YaeAdua should never have reversed the sale of the refineeies.

the man is a mess....just like any other past president... Reverse the deal because of pressure from ur own corrupt people.... It's only a mad man that will save the country

This is a blunt assessment of a systemic failure.

The question is, are we maintaining assets? or we are just funding a recurring budget line with no output.

The math isn't mathing.

But this Tinubu's government celebrated it's return with pomp and fanfare. Yeye people!

Only Peter obi can make it work once he becomes president 2027

Antoeni:
Now That Tinubu APC Government is Distributing Branded Pants to Married Women. What Are They Up to?

Please stop showing this. It is terribly degrading.... please.

Pojomojo:
It’s understandable why former President Olusegun Obasanjo holds such a strong view about Nigeria’s refineries, given his past experience. But saying they will never work again may be too absolute—and perhaps overlooks what is still possible with the right approach.

First, the challenges he listed—poor maintenance, corruption, and outdated capacity—are real. Even Nigerian National Petroleum Company Limited has admitted the refineries are currently underperforming. However, those problems are not unique to Nigeria, and other countries have successfully revived aging refineries through proper reforms, transparent management, and credible technical partnerships.

Second, the global energy landscape has evolved since Obasanjo’s time in office. While major oil companies like Shell plc may prioritize upstream profits, there are now specialized refinery operators and engineering firms whose business is exactly this—turning around inefficient downstream assets. That’s precisely what NNPC is trying to tap into with its current search for technical partners.

Also, the success of the Nigeria LNG Limited project that Obasanjo referenced actually strengthens the case for reform rather than abandonment. It shows that with the right ownership structure, governance, and private-sector discipline, state-linked energy projects in Nigeria can work.

Then there’s the example of Aliko Dangote’s refinery. While it highlights how efficient private investment can be, it doesn’t necessarily mean public refineries are beyond saving—it simply raises the standard they must meet. Competing may be difficult, but not impossible, especially if the goal is to reduce import dependence and strengthen energy security.

In reality, the question isn’t whether the refineries can ever work again—it’s whether Nigeria is willing to implement the tough structural changes needed to make them work. That includes transparency, accountability, and possibly letting go of full government control.

So rather than writing them off completely, it may be more productive to see this moment as a test: can Nigeria finally fix what has long been broken, or will history repeat itself?

brilliant insights from you bro but experience teaches us that our case in Nigeria is unique because government intervention programs in every facets of our developmental strides have failed woefully without exception, Airways, Seaports, Ajaokuta steel, refineries, Fertilizer companies, just name them, government leprous hands corrupts and destroys whatever it torches, if things succeds easily in other countries replicating same in Nigeria is always hellish

Antoeni:
Only Peter obi can make it work once he becomes president 2027

What has he said concerning this matter. This is the time to lay out your plans to be taken seriously. My idea of government is service delivery.