The Nigerian National Petroleum Company Limited (NNPC Ltd) has taken a major step toward reviving Nigeria’s dormant refining capacity, signing a Memorandum of Understanding (MoU) with two Chinese firms to fast-track the completion and operation of the Warri and Port Harcourt refineries.
The agreement, signed in Jiaxing City, China, on April 30, 2026, brings NNPC into a potential Technical Equity Partnership (TEP) with Sanjiang Chemical Company and Xinganchen (Fuzhou) Industrial Park Operation and Management Co., Ltd. The deal is expected to pave the way for fresh investment, technical expertise, and operational efficiency in the country’s struggling refining sector.
Under the proposed framework, the partners will focus on completing outstanding rehabilitation work, as well as operating and maintaining both refineries to deliver sustainable, world-class performance. The collaboration also includes plans to upgrade the facilities to produce cleaner and more profitable petroleum products.
Beyond refining, the agreement opens the door to broader industrial development. NNPC said the partnership could expand petrochemical production and unlock gas-based opportunities through the creation of integrated industrial hubs around the refineries.
NNPC’s Group Chief Executive Officer, Bayo Ojulari, described the MoU as a critical milestone following over six months of intensive negotiations. He noted that all parties are aligned on unlocking long-term value and profitability from Nigeria’s refining assets.
According to the company, the agreement is a preliminary step, reflecting a shared commitment to advance discussions in good faith. Final binding agreements will be subject to further negotiations and regulatory approvals.
The move signals NNPC’s renewed push to end Nigeria’s dependence on imported fuel by restoring domestic refining capacity and positioning the country as a hub for downstream and petrochemical industries.
ADVERTISEMENTS
