(DDM) – Nigeria’s state-owned refineries in Port Harcourt, Warri, and Kaduna are rotting away despite over $3 billion earmarked for their rehabilitation.
Diaspora Digital Media (DDM) gathered that multiple visits to the three refineries confirmed systemic decay, idle staff, and little or no production, even after heavy government investment.
The $3 billion rehabilitation fund, now under EFCC investigation, was meant to revive the moribund facilities and reduce Nigeria’s dependence on fuel imports.
Instead, workers at the refineries reportedly resume at will, perform no meaningful duties, and collect salaries from idle plants.
The collapse of the facilities highlights Nigeria’s decades-long struggle with its refining capacity despite being Africa’s top crude oil producer.
Nigeria’s four government-owned refineries have failed for years, forcing the country to rely on imported petroleum products.
This has fueled widespread corruption, subsidy scams, and revenue losses estimated at billions of dollars annually.
The Port Harcourt Refinery, once Nigeria’s flagship with a combined capacity of 210,000 barrels per day, was shut in 2019 due to obsolescence and vandalism.
A $1.5 billion rehabilitation deal signed in 2021 was projected to restore 70 percent capacity by 2025.
In November 2024, NNPCL’s then-CEO Mele Kyari announced limited resumption, boasting of producing petrol, diesel, kerosene, and low-pour fuel oil.
But within months, the plant shut down again, with stakeholders accusing the government of deception.
By mid-2025, the Host Community Bulk Petroleum Retailers Association said the plant was “only loading diesel from old stock,” not fresh production.
Marketers at the depot accused the NNPCL of restricting supplies to major companies while shutting out independents.
The Warri Refinery, commissioned in 1978 with a 125,000 barrels-per-day capacity, fared no better.
A $897 million rehabilitation package was approved for Warri in 2021 as part of a joint $1.4 billion deal with Kaduna.
Reuters reported in December 2024 that Warri had resumed after nearly a decade of inactivity.
But investigations by journalists showed the refinery went silent again soon after.
Sources revealed staff come and go without production duties, effectively drawing salaries for doing nothing.
The tanker park remains empty, and the chemical plant shows no visible activity.
One staff insider admitted, “We just resume, mark attendance, and leave. The refinery is not working.”
Another insider blamed inconsistent policy direction from new NNPCL leadership, saying each administration “comes with a different approach.”
Kaduna Refinery, established in 1980 with a 110,000 barrels-per-day capacity, also remains dormant.
Local residents recalled when flames, furnace noise, and heavy traffic defined daily life around the facility.
Today, the once-busy compound looks abandoned, with bar attendants and kiosk owners lamenting the loss of business.
An engineer who worked at Kaduna warned that prolonged idleness had caused corrosion, making revival even more expensive.
From over 1,200 workers at Kaduna, fewer than 100 remain, raising fears of manpower collapse.
Communities around the refinery say livelihoods have been destroyed, with shops, transport services, and small businesses drying up.
Residents described government promises as “empty,” likening them to “waiting for the coming of Jesus Christ.”
The EFCC has since interrogated sacked NNPCL managing directors and top officials over allegations of diversion of the $3 billion rehabilitation funds.
Critics say the so-called “quick-fix” contracts awarded for Port Harcourt, Warri, and Kaduna were poorly executed, riddled with inflated costs and missed deadlines.
The failure of Nigeria’s refineries has left the economy at the mercy of imported fuel, private depot owners, and forex volatility.
It has also made subsidy removal more painful for citizens, as imported petrol prices remain high.
Experts argue that until the government privatizes or concession refineries transparently, the cycle of waste will continue.
Meanwhile, attention has shifted to Dangote Refinery in Lagos, which recently commenced operations with a capacity of 650,000 barrels per day.
Analysts say the $19 billion private plant may succeed where government facilities failed, but warn that mismanagement of state-owned refineries is a national disgrace.
The NNPCL insists reviews of technical and commercial operations are ongoing, but Nigerians remain skeptical.
For now, the once-proud refineries in Port Harcourt, Warri, and Kaduna stand as ghostly reminders of waste, corruption, and failed leadership.
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