Home » General Politics, Oil Politics » Kaduna, PH Refineries Resume Operations

Kaduna, PH Refineries Resume Operations

Efforts by the Federal Government to boost domestic refining of crude oil and ensure increased availability  of petroleum products across the country may be yielding fruits as the Nigerian National Petroleum Corporation (NNPC) said yesterday that operations at Port Harcourt  and Kaduna Refineries resumed on Friday and Monday respectively.

This is coming as the corporation said it had pumped 37 million litres of kerosene into the domestic market as part of its efforts to further ease the complaints of shortage in the supply of kerosene.

The 110,000 barrels per day capacity Kaduna Refining and Petrochemical Company (KRPC) was shut in November last year following damage to the crude oil pipeline feeding it.

The Port Harcourt refinery had also been out of operations due to the collapse of its power generating unit.

But the spokesman of NNPC, Dr. Levi Ajuonuma, said in a statement yesterday that both refineries were fully back on stream, but did not disclose the actual daily output of petroleum products the two refineries are producing.

“Last week, when we announced the re-streaming of the Warri Refinery, I mentioned that the Kaduna and Port Harcourt refineries would soon commence production. I am happy to announce that both Port Harcourt and Kaduna Refineries came on stream on Friday and Monday respectively. This development is bound to boost the kerosene and diesel supply situation,” he said.

Nigeria has four refineries with a combined installed capacity of 445,000 bpd, but frequent vandalism of the pipelines that supply crude oil to them hampers their operation.

Ajuonuma  disclosed that  NNPC had pumped 37 million litres of kerosene into the domestic market, stressing that the market was well supplied with kerosene and assured Nigerians that there was no need for them to resort to panic buying.

Giving a breakdown of the supply figures for the product, he explained that the Pipeline Products and Marketing Company (PPMC), a subsidiary of the NNPC, had stepped up kerosene supply to NNPC retail outlets to 12 million litres daily.

He said NIPCO Plc gets 10 million litres daily and the Mosimi depot has 15 million litres for pumping to Ibadan, Ilorin, Ore and all its environments.

Ajuonuma said the 37 million litres per day supply was far above the national demand of 10 million litres daily. He added that it was no longer possible to have shortage of kerosene in the country.

He said the supply situation would be further improved when Household Kerosene (HHK) from the Warri Refinery and Kaduna Refinery begins to hit the market very soon.

Ajuonuma last week disclosed that NNPC had taken measures to end the scarcity of kerosene in the country by boosting the volume of products available in filling stations.

He had said the NNPC management waded into the kerosene issue and also directed the PPMC to move in quickly to bridge the gap in the supply of the product, which was caused by some extraneous factors.

“I want to plead with Nigerians to remain calm as the NNPC management is doing everything possible to arrest the ugly trend. Nothing has changed about the quantity of kerosene that NNPC supplies to the market and we are bent on ensuring that the quantity supplied reaches the end user at least at all NNPC retail outlets and at the approved price. I can confirm to you that the Warri Refinery is back and has commenced production of dual purpose kerosene and automotive gas oil since Sunday,” Ajuonuma said.

The scarcity of kerosene, which started since the withdrawal of the product from the Petroleum Support Fund (PSF) scheme, has worsened over the past few months.

Though the government withdrew from payment of subsidy on kerosene to private marketers, it however mandated the NNPC to continue to import the product and sell at subsidised price as part of the efforts to ensure that it is within the reach of the common man.

It was gathered that following the withdrawal of subsidy from kerosene by late President Umaru Musa Yar’Adua in 2009, fuel marketers and other depot owners suspended importation of the product and scramble for supply from the NNPC, the sole importer of the product.

Following this development, kerosene, which was sold at ex-depot price of N59-N60 per litre by private depot operators in Lagos, jumped to N75 per litre.

NNPC imports kerosene and sell to marketers at ex-depot price of between N40.90 and N44.40 to enable them to sell at government subsidised rate of N50 per litre at the filling stations.

But after buying from the NNPC at government approved depot price, the private depot owners sell at ex-depot price of between N75 and N76 per litre, while the price at most filling stations is hiked N100 per litre.


Short URL: http://newnigerianpolitics.com/?p=3464

Posted by on Feb 2 2011. Filed under General Politics, Oil Politics. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

Leave a Reply

2023: We pressured Obi to dump PDP — Igbo elders


You’re drug user – Atiku’s camp makes allegations against Fani-Kayode


Browse Elections 2023

Featuring Top 5/50 of Elections 2023

What FG should do with Nnamdi Kanu – Falana

Browse Africa & World Politics

Featuring Top 3/2270 of Africa & World Politics

Browse National Politics

Featuring Top 5/1257 of National Politics

Knocks as running-mate Kashim Shetima likens Bola Tinubu to late Sani Abacha

Browse NNP Columnists

Featuring Top 10/1524 of NNP Columnists

He has two planes, where is his company? – Peter Obi asks Tinubu and supporters



UK Govt in talks with Nigeria to receive migrants rejected for asylum in the UK


February 2011
« Jan   Mar »

© 2022 New Nigerian Politics. All Rights Reserved. Log in - Designed by Gabfire Themes