Bayo Ojulari, Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL), disclosed yesterday that Nigeria was losing between $300 million and $500 million monthly while the Port Harcourt Refinery remained operational. He made the revelation during a meeting with the leadership of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) at his Abuja office.
Ojulari explained that the refinery was processing about 50,000 barrels of crude, but output was less than 40 percent of the input, resulting in substantial financial losses. He noted that immediate action was taken to halt further losses while seeking a sustainable model for the refinery, including a review of technical and commercial viability.
He revealed that NNPCL had concluded a commercial review of the Port Harcourt Refinery and identified the best path forward as partnering with a professional refinery company. Ojulari emphasized that the strategy prioritizes profitability and operational efficiency, rather than succumbing to short-term pressures.
Reassuring stakeholders, Ojulari affirmed that no political pressure from President Bola Tinubu influenced the decision to pause operations. “The baseline was to ensure that whatever we’re doing going forward sustainably works,” he said. He added that once the refinery is fully restructured, all staff will return to work, underscoring the administration’s commitment to long-term solutions for Nigeria’s oil and gas sector.