The Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has welcomed the Nigerian National Petroleum Company Limited’s (NNPCL) recent agreement with Chinese firms to restart the Port Harcourt and Warri refineries. In a statement released on Tuesday, NUPENG President Otunba Salimon Oladiti said the revival of the two plants is expected to ease the economic pressure on Nigerians by reducing the country’s reliance on imported petroleum products.
The partnership, signed earlier this month, involves Chinese engineering and investment companies that will provide technical expertise, financing and equipment needed to bring the ageing refineries back to commercial operation. NNPCL’s move follows a series of failed attempts by successive governments to rehabilitate the facilities, which have remained largely idle for years despite Nigeria’s status as one of Africa’s leading oil producers.
Oladiti highlighted several potential benefits of the agreement. “The collaboration offers an opportunity to reposition the oil and gas sector, restore public confidence in domestic refining capacity, create jobs, stimulate industrial growth, and strengthen energy security,” he said. He added that a functional refinery base would cut the heavy foreign exchange outflow associated with fuel imports, thereby alleviating one of the main drivers of inflation in the country.
Nevertheless, the union cautioned that Nigerians are increasingly weary of repeated promises of refinery rehabilitation that have consumed substantial public resources without delivering lasting results. Oladiti called on all parties involved – NNPCL, the Chinese partners, and relevant government agencies – to observe strict standards of transparency, accountability and professionalism. He emphasized the need for timely execution of the project to avoid further delays and cost overruns.
The Port Harcourt and Warri refineries, each with a theoretical capacity of around 200,000 barrels per day, have struggled with chronic maintenance backlogs, equipment failures and power shortages. Their prolonged shutdown has forced the nation to import more than 70 percent of its refined petroleum products, a situation that has strained the balance of payments and contributed to rising fuel prices.
Experts note that successful re‑commissioning of the plants could mark a turning point for the sector, provided that the refurbishment is comprehensive and that the refineries receive reliable power and feedstock supplies. The Chinese partners are expected to introduce modern process technologies and management practices that could improve operational efficiency and product quality.
The NUPENG statement did not disclose the financial terms of the agreement, but indicated that the project will be funded through a combination of private investment and government support. Implementation is slated to begin in the fourth quarter of 2026, with an anticipated timeline of 12 to 18 months to achieve full commercial output.
If the refineries return to service as planned, the impact could extend beyond fuel availability. A functional domestic refining industry would create ancillary opportunities in petrochemical manufacturing, logistics and skilled labor development, contributing to broader economic diversification.
NUPENG concluded by urging continuous monitoring of the project’s progress and pledged the union’s cooperation in ensuring that the revival of Nigeria’s refineries translates into tangible benefits for workers and the wider population.
