The planned rehabilitation of the nation’s refineries will cost the Nigerian National Petroleum Corporation (NNPC) about $1 billion, The Nation reports.
The NNPC Group Managing Director, Dr. Maikanti Baru, on the sidelines of the maiden Nigerian Pipeline Security Conference and Exhibition organised by the Pipeline Association of Nigeria (PLAN), said the nation’s three refineries in Kaduna, Warri and Port Harcourt would be shut for rehabilitation to make them operate at full capacity. Baru said the refineries would come back on stream as new facilities when the NNPC concludes the rehabilitation ahead of the country’s plan to end petroleum products import in 2019.
The Corporation has set up eight committees that would work on the blueprint on how to make the refineries work at their installed capacities. The cost of the rehabilitation would be about $1 billion and the funds will be sourced from external financiers as the government does not have funds. The financiers at the completion of the project will be paid back from incremental oil production and refining. The companies that would handle the rehabilitation would be the firms that initially built the refineries.