Half a year has passed since Nigeria announced the resumption of operations at two state-owned refineries.
Despite this declaration, traders continue to struggle to source petrol from these facilities. As a result, Nigeria remains heavily reliant on imported fuel and production from the privately operated Dangote Refinery.
Despite investing $2.4 billion since 2021 to revive the Port Harcourt and Warri refineries, both facilities have yet to produce gasoline for the local market, according to traders and regulatory data reviewed by Reuters. The refineries were expected to ease the burden of Nigeria’s massive fuel import bill, but current data show the country remains in a precarious position.
In March, Port Harcourt Refinery, previously Nigeria’s largest, produced no gasoline. Meanwhile, Dangote’s new refinery supplied 20.6 million litres of gasoline, while another 25.19 million litres were imported. Combined, they met 92% of Nigeria’s average daily consumption of 50 million litres, data from the downstream regulator showed.
While the Port Harcourt plant has begun refining diesel, gasoline production remains absent. The Warri refinery, also refurbished, has not disclosed any output figures. Nigerian National Petroleum Company Limited (NNPC), which operates both facilities, has not responded to requests for comment.
The situation adds to pressure on the newly appointed CEO of NNPC, who fired the heads of all four state-run refineries on April 30, one month after assuming office.
Nigeria’s dependence on imported fuel remains financially draining. The country spent ₦15.4 trillion ($9.63 billion) on gasoline imports in 2024, more than double the ₦7.51 trillion spent in 2023, according to the National Bureau of Statistics. Officials have long argued that local refining is key to reducing these costs.
The country has faced recurring fuel shortages despite being Africa’s largest crude oil producer. Many Nigerians had hoped the rehabilitation of its ageing refineries would mark a turning point.
“The revamp was supposed to end fuel scarcity and high import bills,” said an industry analyst who asked not to be named. “But we’re still stuck in the same old cycle.”
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