By Atoyebi Nike
The Federal Government has indicated that it may sell Nigeria’s publicly-owned refineries as part of broader reforms to attract investment and restore efficiency in the petroleum downstream sector. The disclosure was made by Presidential Adviser on Energy, Olu Verheijen, during an interview with Bloomberg TV at ADIPEC 2025.
Verheijen said privatisation is among several options being considered to reposition the sector. “It’s one of the options you have to consider if you find the right technical partner with the right capital,” she said, noting that decades of subsidy-driven distortions had prevented the refineries from operating commercially.
Nigeria’s four state-owned refineries located in Port Harcourt, Warri and Kaduna with a combined capacity of 445,000 barrels per day, have remained largely idle despite repeated multi-billion-dollar rehabilitation attempts.
NNPC recently announced it is seeking technical equity partners to manage and operate the three refineries at international standards. Group CEO Bayo Ojulari said the company is optimistic about restoring full operations.
Verheijen also said the government views a future initial public offering (IPO) for NNPC as part of its long-term outlook, emphasizing the need for improved transparency and efficiency.
Any new refinery buyers would have to compete with the 650,000 bpd Dangote Refinery, which already produces more gasoline and diesel than Nigeria consumes. Dangote has announced plans to more than double the plant’s capacity.
The Port Harcourt Refinery, previously slated for repairs lasting 30 days from May 24, has now been idle for more than 80 days, raising further concerns about the viability of state-owned refining assets.
