The Nigerian National Petroleum Company Limited (NNPCL) is under scrutiny following allegations that it is not producing Premium Motor Spirit (PMS) from the Port Harcourt Refinery, as claimed in its recent announcement. Sources close to the operations revealed that the company is blending “Cracked C5 petroleum resins” with other products, including Naphtha, and marketing it as refined PMS.
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Allegations of Deception
According to SaharaReporters, insiders disclosed that the refinery, which recently resumed partial operations, lacks the capacity to produce PMS in its current state. The old plant, with a 60,000 barrels-per-day (bpd) capacity, can only produce diesel. The facility required for PMS production remains non-operational.
A source stated, “If you hear they are trucking out PMS from the depot, know it is a lie. They bought Cracked C5 from Indorama in Port Harcourt and blended it with Naphtha to sell to the public.”
Cracked C5, described as modified petroleum resin, was reportedly procured from Indorama Eleme Petrochemicals Limited, a Port Harcourt-based company. Naphtha, used in the blending process, can be derived from various sources, including crude oil and coal tar.
NNPCL’s Public Statement
On Tuesday, the NNPCL released a statement and accompanying videos claiming that the Port Harcourt Refinery had commenced PMS production and distribution. Group CEO Mele Kyari celebrated the event as a “monumental achievement” for Nigeria’s energy sector, describing it as a step toward energy independence and economic growth.
However, sources contradicted this narrative, asserting that the refinery’s PMS-producing unit, built in 1989 with a capacity of 150,000 bpd, is not yet operational and may not be ready until 2026.
Limited Impact of the Current Refinery
Experts argue that even if the old refinery achieves full functionality, its output will be negligible. One insider explained, “The old refinery can only give 1 million litres of PMS, which is insignificant for Nigeria’s needs.”
The NNPCL’s announcement follows a series of missed deadlines for the refinery’s full operational status. Critics have called for transparency regarding the refinery’s actual capacity and the government’s long-term plans for Nigeria’s energy sector.
Credit: Sahara Reporters.
