NNPC SIGNS MOU WITH CHINESE FIRMS TO REVIVE, EXPAND WARRI AND PORT HARCOURT REFINERIES
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By Aishat Momoh. O.
The Nigerian National Petroleum Company Limited has signed a Memorandum of Understanding (MoU) with two Chinese firms to restart, operate and expand the Warri Refining and Petrochemical Company and Port Harcourt Refining Company.
In a statement on Monday, NNPC’s Chief Corporate Communications Officer, Andy Odey, said the agreement was signed with Sanjiang Chemical Company Limited and Xingcheng Fuzhou Industrial Park Operation and Management Co Ltd.
According to him, the deal is expected to pave the way for a Technical Equity Partnership (TEP) aimed at completing ongoing rehabilitation works and ensuring efficient, sustainable operations of the refineries.
The MoU was executed on April 30, 2026, in Jiaxing by NNPC’s Group Chief Executive Officer, Bashir Bayo Ojulari, alongside Chairman of Sanjiang Chemical, Guan Jianzhong, and Chairman of Xingcheng Industrial Park, Bill Bi.
Under the proposed arrangement, the Chinese partners will support the completion of outstanding rehabilitation work at both facilities and participate in their operation and maintenance to achieve optimal performance.
The partnership will also explore expansion and upgrades to meet cleaner fuel standards, improve profitability, and boost petrochemical production capacity. It is further expected to support the development of gas-based industrial hubs around the refineries.
Ojulari described the agreement as a major milestone following months of negotiations.
“All parties recognise mutually beneficial opportunities for the development and long-term sustainability of NNPC’s refining assets,” he said.
He noted, however, that the MoU is non-binding and subject to regulatory approvals and further negotiations.
The rehabilitation of the Port Harcourt refinery was approved in 2021 at an estimated cost of $1.5 billion, with contracts awarded to Italy’s Saipem and other partners to restore its 210,000 barrels-per-day capacity.
Similarly, the Warri refinery is undergoing rehabilitation under a contract valued at about $897 million, aimed at reviving its 125,000 barrels-per-day capacity and integrating petrochemical production.
Both projects are part of NNPC’s broader strategy to reduce Nigeria’s reliance on imported petroleum products and strengthen domestic refining capacity.
The Port Harcourt refinery briefly resumed operations in late 2024 after years of inactivity but was later shut down due to operational and financial challenges.
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