The Nigerian National Petroleum Company (NNPC) Limited signed a Memorandum of Understanding on April 30, 2026, in Jiaxing City, China, with two Chinese firms to restart and expand the Warri and Port Harcourt refineries. The facilities have been shut down since May 24, 2025, initially for routine maintenance that later uncovered deep structural and operational issues. NNPC Group Chief Executive Officer Bashir Bayo Ojulari signed the deal, which aims to complete rehabilitation work, manage operations, and ensure long-term maintenance.
The agreement includes plans to upgrade infrastructure, improve product quality, increase output, and expand petrochemical capabilities. It could lead to integrated industrial hubs around the refineries, supporting gas-based industries and downstream development. Ojulari called the MoU a major milestone after months of talks, stressing that technical and financial strength from partners is vital to break cycles of inefficiency.
Before the shutdown, the refineries were operating at significant losses, NNPC confirmed by February 2026. Past efforts, including a $1.5 billion rehabilitation project on the Port Harcourt refinery, failed to achieve lasting results. NNPC maintains it has no plan to sell the Port Harcourt Refining Company, preferring rehabilitation and partnerships. The move aligns with NNPC's reported profit after tax of N276 billion for March 2026, indicating improved financial standing.
Bashir Bayo Ojulari claims this deal breaks past cycles of failure, yet the same refineries were already subject to a $1.5 billion rehabilitation that did not stop their collapse. The NNPC now depends on Chinese partners to fix plants it previously declared functional after costly repairs. If the last overhaul could not prevent shutdowns, the new MoU raises doubts about sustainability. Nigerians are left wondering how many more deals will be signed for the same broken refineries.
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