The NNPC Limited has signed a Memorandum of Understanding (MoU) with two Chinese companies as part of efforts to restart and expand the Warri and Port Harcourt refineries.
This was disclosed in a press release dated May 3, 2026, and signed by the Chief Corporate Communications Officer of the company, Andy Odeh.
The MoU was executed in Jiaxing City, China, on April 30, 2026, by the Group Chief Executive Officer of NNPC Ltd., Engr. Bashir Bayo Ojulari; Chairman of Sanjiang Chemical Company, Guan Jianzhong, Chairman of Xinganchen (Fuzhou) Industrial Park Operation and Management Co. Ltd, Bill Bi.
What NNPC is saying
NNPC said the proposed partnership framework is expected to cover the completion of pending rehabilitation work at both refineries, as well as their operation and maintenance, with a focus on achieving efficient and sustainable performance.
It added that planned upgrades would improve product quality and enhance profitability.
The company further stated that the collaboration would also extend to expanding petrochemical capacity and unlocking broader gas and downstream opportunities through the development of industrial hubs.
- “The potential collaboration also contemplates expanding the refineries’ petrochemical capacities and harnessing gas and downstream opportunities through the development of co-located, gas-based industrial hubs,” the statement reads in part.
Ojulari described the agreement as a key milestone after months of engagement between NNPC and the Chinese partners, noting that it signals growing alignment on the future of Nigeria’s refining assets.
- “All parties recognise mutually beneficial opportunities for the development and long-term sustainable profitability of NNPC’s refining assets in Nigeria, and the collective weight required for success,” Ojulari noted.
He added that the agreement represents a major step towards securing technical equity partners needed to restart and expand the refineries, while also exploring opportunities in petrochemicals and gas-based industries.
Get up to speed
The latest move comes amid ongoing efforts to revive Nigeria’s state-owned refineries, which have remained largely inactive for months.
The announcement follows NNPC’s recent denial of reports alleging the sale of scrap materials from its refineries, even as operations at the facilities have remained stalled.
- The shutdown of the facilities dates back to May 24, 2025, when operations were halted for scheduled maintenance initially expected to last 30 days.
- Recall that a detailed technical and commercial review of the Port Harcourt, Warri, and Kaduna refineries began in October 2025 to assess their operational and financial viability.
However, in February 2026, Ojulari disclosed that the refineries were subsequently shut down after internal assessments showed they were operating at significant losses and eroding national value.
It was also in February that he also revealed at the time that NNPC was already in discussions with a Chinese petrochemical firm on refinery revival.
What you should know
Despite the prolonged inactivity, NNPC has maintained that it will not sell the Port Harcourt Refining Company, reaffirming its commitment to rehabilitation and continued ownership amid calls for privatisation.
- The last major rehabilitation effort on the Port Harcourt refinery, carried out under former GCEO Mele Kyari, reportedly cost $1.5 billion but failed to deliver sustained operations.
While it remains unclear whether the new MoU will ultimately lead to a successful restart of the refineries, the company recently reported a profit after tax of N276 billion for March 2026, according to its monthly performance report, suggesting improved financial standing as it pursues refinery revival.
The only solution is to privatise these refineries