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NUPENG backs Chinese deal to restart Port Harcourt, Warri

The Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has welcomed the Nigerian National Petroleum Company Limited’s (NNPC) recently […]

It would ease economic pressure - NUPENG reacts to NNPCL's partnership on Nigerian refineries' restart

The Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) has welcomed the Nigerian National Petroleum Company Limited’s (NNPC) recently signed partnership with Chinese firms to restart the Port Harcourt and Warri refineries. In a statement released to the press, NUPENG President Otunba Salimon Oladiti said the refurbishment of the two plants is expected to ease the economic pressure on Nigerians by reducing reliance on imported petroleum products.

The agreement, confirmed by Media Talk Africa, marks the latest effort to revive Nigeria’s downstream sector, which has struggled with chronic under‑performance for years. According to NUPENG, the partnership with Chinese investors offers an opportunity to address “long‑standing challenges in Nigeria’s petroleum sector” and to “reposition its oil and gas industry” after a prolonged period of low refining capacity. Oladiti highlighted several anticipated benefits: restoration of public confidence in domestic refining, creation of jobs, stimulation of industrial growth, strengthening of energy security, and a reduction in the fiscal burden associated with fuel imports.

While expressing optimism, NUPENG cautioned that past attempts to rehabilitate the refineries have often resulted in costly projects that failed to deliver sustainable outcomes. “Nigerians are tired of repeated refinery rehabilitation promises and projects that have consumed huge public resources without delivering lasting results,” Oladiti warned. He called on all parties involved—including NNPC, the Chinese partners, and relevant government agencies—to ensure transparency, accountability, professionalism, and timely execution of the agreement.

The Port Harcourt and Warri refineries, once among the largest in West Africa, have been operating at low capacity since the early 2000s due to technical failures, inadequate maintenance, and insufficient investment. Their decline forced Nigeria to import a significant share of its refined petroleum products, despite the country’s status as one of the world’s top crude oil exporters. Reviving these facilities aligns with the government’s broader “Zero Import” policy, which seeks to achieve self‑sufficiency in fuel production.

Stakeholders in the energy sector have noted that Chinese involvement could bring the requisite technical expertise and financing to complete the overhaul. Earlier this year, NNPC announced plans to modernise the refineries with the help of foreign partners, emphasizing the need for “state‑of‑the‑art” technology and efficient management practices. If successful, the project could serve as a model for future public‑private collaborations in Nigeria’s oil and gas industry.

The next steps involve detailed project planning, procurement of equipment, and commencement of construction work, subject to regulatory approvals and funding disbursements. NUPENG will monitor progress closely, urging the government to maintain open communication with workers and the public throughout the process.

The revival of the Port Harcourt and Warri refineries carries significant implications for Nigeria’s economy and energy landscape. A functional domestic refining capacity could lower fuel prices, reduce foreign exchange outflows, and strengthen the country’s position in the global oil market. Observers will watch closely to see whether the partnership can deliver on its promises and restore confidence in Nigeria’s long‑awaited refinery renaissance.

Ifunanya

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