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Senate Raises Questions over $1.5bn Expended on Port Harcourt Refinery

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∙ Says it’s unfair to treat govt businesses as an orphan
∙ Reveals plan to conduct investigation alongside lower chamber

From Lateef Taiwo

Amid pervasive allegations of sabotage in the petroleum industry, the Senate has raised questions over $1.5 billion approved in 2021 for the turn-around maintenance of the Port Harcourt Refinery with little or no result.

Consequently, the upper chamber lamented that it was unfair and wrong to treat government businesses or public companies as an orphan while private businesses were flourishing and thriving.

The Leader of the Senate and Chairman, Senate Ad-hoc Committee to Investigate the Alleged Economic Sabotage in the Nigerian Petroleum Industry, Senator Opeyemi Bamidele raised the questions at a session with stakeholders in the industry at the National Assembly Complex, Abuja on Wednesday.

The session was attended by Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun; Group Managing Director, Nigerian National Petroleum Corporation Limited (NNPCL), Malam Melee Kyari; Chief Executive, Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Mr. Gbenga Komolafe and Chief Executive Office, Nigerian Midstream and Downstream Petroleum Regulatory Authority, Mr. Farouk Ahmed, among others.

The Federal Executive Council had approved the plan by the Ministry of Petroleum Resources to rehabilitate and turn around the Port Harcourt Refinery with a whopping sum of $1.5 billion under the administration of former President Muhammadu Buhari.

Despite the huge investment, the government-owned refinery is yet to function effectively, a situation that compelled the country to depend almost entirely on the importation of petroleum products.

At the session with stakeholders Wednesday, however, Bamidele expressed grave concerns about the dysfunctionality of the government-owned refineries despite billions of Dollars invested to carry out turn-around maintenance on the installation.

Bamidele observed that the federation “is undergoing a truly challenging period,” pointing out that the distribution and supply of refined petroleum products “has been irregular and problematic in the recent history of our fatherland.”

“The long queues at filling stations are obviously a testament to this challenge. A situation, whereby we now depend almost entirely on the importation of these products, even when we daily supply the global oil market no fewer than two percent of its crude oil requirements, is to say the least, highly worrisome.

“We also have at hand a grievous issue of national concern that directly borders on the importation of hazardous petroleum products and dumping of substandard diesel into the country.”

Under different administrations since 1999, Bamidele observed that the federal government “has invested billions of Dollars to maintain and turn around the state-owned refineries in Kaduna, Port Harcourt and Warri. But the refineries are not functioning.

“In 2021, specifically, the Federal Executive Council approved $1.5 billion for the turn-around maintenance of the Port Harcourt Refinery. Yet, this investment has not yielded significant returns.

“For us, in the Senate, we believe, it is unfair and unpatriotic to treat government businesses or public corporations as an orphan while private businesses are flourishing and thriving,” Bamidele pointed out at the interactive session.

To permanently nip these challenges in the bud, the chairman of the ad-hoc committee disclosed the plan of the Senate to jointly conduct investigation into diverse allegations of economic sabotage in the petroleum industry along with the House of Representatives.

Bamidele, equally, noted that there would be no room for grandstanding during the investigative hearing, promising that the committee would carry out its mandate fairly and impartially.

While insisting that nobody will be untouchable, Bamidele said the task of ridding the petroleum industry of malfeasance “is urgent and must be carried out in the spirit of nationalism and patriotism. We are ready to carry it out with all senses of honour and responsibility.

“We are also taking it seriously with a view to addressing fundamental issues that pose grave threats to our economic prosperity, fiscal stability and public health as a federation. In line with our mandate, we will definitely unravel factors and forces aiding sabotage in our petroleum industry.

“From our findings, we will craft a legislative framework that will entrench global best practices in the industry; open it up for more investments, especially in the midstream and downstream sectors and end vicious regimes of subterfuge in the petroleum industry.

“We are utterly committed to this mandate. We shall carry it out without fear or favour. We shall be equitable, fair and just to all parties with a view to promoting and protecting the strategic national interests of our fatherland,” Bamidele said.

He, therefore, promised that the National Assembly “is ready to carry out the investigative hearing with all senses of honor and responsibility,” citing impeccable professional backgrounds of the members of the committee.

Also, at the session, Kyari claimed that NNPCL “is loyal and faithful to the country,” saying its management vowed to protect the interest of Nigeria in the petroleum industry.

He observed that most problems in the petroleum industry “have nothing to do with NNPCL. We are faithful and loyal to the economic interest of this country. We are not criminals. We are not thieves. But we will protect our dignity and honour.

In his own remarks, Edun said the increase in the crude would stabilise the country’s foreign exchange market while expressing confidence in the leadership of the ad-hoc committee to conduct an unbiased and impartial investigation.

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Dangote Refinery Boosts Fuel Exports as Gulf Refineries Shut Down

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By: Fabian Apechihin

The Dangote Petroleum Refinery has ramped up fuel exports to international markets amid widespread refinery shutdowns in the Middle East, industry sources confirmed.

A senior official at the $20bn Lagos-based plant told The PUNCH that the facility exported significant volumes of petrol (PMS), diesel (AGO), and aviation fuel (Jet A1) to foreign buyers in August, following earlier shipments in June and July.

The surge comes as Saudi Aramco and other regional producers face heavy maintenance schedules, tightening fuel supply. Aramco has already shut down two plants and plans further closures, including its 460,000 b/d Satorp refinery in Jubail for a 60-day turnaround in November–December. Kuwait and India are also scaling back capacity for maintenance and seasonal demand.

According to Argus Media, these shutdowns are pushing Gulf nations to import record volumes of gasoline, with Saudi Arabia and the UAE sharply increasing purchases from Europe and other markets in recent months.

While some reports pointed to operational constraints at Dangote’s 650,000 b/d facility, the company dismissed such claims, insisting production is on track to reach 700,000 b/d by December. Earlier this year, Aliko Dangote announced the refinery had sold two cargoes of jet fuel to Saudi Aramco and recently achieved exports of about 1 million tonnes of petrol between June and July.

“With Gulf refiners offline, Nigeria has now emerged as a net exporter of refined products,” Dangote said.

Analysts suggest the extended refinery outages in the Middle East will further strengthen demand for Dangote’s output, positioning the Nigerian plant as a key supplier in regional fuel markets.


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US Oil Exports to Nigeria, Others Fall to 3.3m bpd as Local Output Rises

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By: Fabian Apechihin

The United States’ crude oil exports to Nigeria and other African countries fell for the fifth consecutive month in July 2025, averaging 3.3 million barrels per day (bpd), the lowest level since March 2022.

The Organisation of Petroleum Exporting Countries (OPEC) disclosed this in its August 2025 Monthly Oil Market Report (MOMR), attributing the decline to weaker flows to Europe and Africa, particularly Nigeria, but without giving further details.

Industry analysts link the slowdown to the ramp-up of local refining capacity, especially the 650,000 bpd Dangote Refinery, which has reduced Nigeria’s reliance on imported crude, including from the US. Vanguard checks also show that crude importation has slowed further in recent months due to improved domestic production.

According to OPEC data, Nigeria’s crude oil output—excluding condensates—rose by 11 per cent year-on-year to 1.559 million bpd in July 2025, up from 1.386 million bpd in the same period of 2024. This marks the country’s highest monthly production level so far this year.

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) corroborated the figures, stating that overall output, including condensates, exceeded 1.8 million bpd in July.

Gbenga Komolafe, Chief Executive of the NUPRC, said the milestone was achieved through the agency’s “Project 1 MMBOPD Incremental” initiative, supported by a multi-stakeholder collaborative framework.

“We are glad to report that we crossed the 1.8 million bpd mark on peak production last month, with average production hovering at 1.78 million bpd,” Komolafe stated.

He added that the Commission is working to sustain production growth by optimising the Maximum Efficient Rate (MER) framework, improving produced water management, and aligning operational shutdowns and maintenance schedules to minimise disruptions.

“With these measures and continued collaboration, the presidential mandate on production increase is well within reach,” he said.


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NDYPC Hails Otuaro’s Reforms in Presidential Amnesty Programme

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• Lauds transparency, fairness in beneficiary selection and grassroots empowerment

• Says reforms align with Tinubu’s Renewed Hope Agenda, restore trust in Niger Delta

The Niger Delta Youths for Positive Change (NDYPC) has commended the Administrator of the Presidential Amnesty Programme (PAP), Dr. Dennis Otuaro, for what it described as bold, people-focused reforms that are restoring trust and delivering tangible benefits to the Niger Delta.

In a statement signed and issued by Comrade Elliott Yibakeni, after the conclusion of leadership training sessions with ex-agitator leaders in Abuja, the group said the PAP, once in urgent need of renewal, is now undergoing a transformation that reflects transparency, fairness, and accountability.

“At a time when public trust in institutions was waning, Dr. Otuaro has emerged as a symbol of credibility and transformation,” the statement read. “His visionary leadership is restoring integrity, empowering communities, and driving a sustainable development agenda that resonates with the aspirations of the Niger Delta.”

According to NDYPC, under Otuaro’s leadership, beneficiary selection has become fair and merit-based, ending years of favoritism and political interference. The group added that access to education, skills training, and empowerment opportunities, both locally and abroad, is now guided by equity and open competition.

The group highlighted several internal reforms, including improved staff welfare, strengthened professional capacity, and strict adherence to best practices in public procurement. These, it said, have made the PAP more efficient, responsive, and transparent.

NDYPC also praised Otuaro’s inclusive governance style, noting his sustained engagement with traditional rulers, women leaders, civil society organizations, and local communities. This approach, the group said, has strengthened peace-building efforts and deepened trust between the PAP and the people it serves.

In line with President Bola Ahmed Tinubu’s Renewed Hope Agenda, the PAP has maintained consistent payment of stipends to ex-agitators and extended direct support to vulnerable populations. NDYPC also applauded new healthcare interventions for ex-agitators facing health challenges.

The statement further commended the programme’s investments in scholarships, vocational training, and economic empowerment initiatives aimed at preparing Niger Delta youths for leadership, innovation, and sustainable livelihoods.

“Every decision reflects a deep commitment to public trust, responsible stewardship, and long-term development,” NDYPC stated. “Under Dr. Otuaro’s watch, the Niger Delta is rising stronger, united, and filled with renewed hope.”

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