By Milcah Tanimu
The Nigerian National Petroleum Company Limited (NNPC) has announced its search for private firms to manage and maintain the Warri and Kaduna refineries. This move, detailed in a notice on the company’s official X handle, aims to bolster the reliability and energy security of Nigeria’s oil sector.
In August 2021, the Federal Executive Council approved a $1.48 billion contract for the rehabilitation of these refineries, which have capacities of 125,000 barrels per day (bpd) for Warri and 110,000 bpd for Kaduna. The rehabilitation project was planned in three phases: 21, 23, and 33 months, but the refineries have yet to resume production.
Previously, NNPC had signed a $1.5 billion contract with Maire Tecnimont for the Port Harcourt refinery in April 2021, aiming to restore it to 90% of its capacity. Despite these efforts, no petrol has been produced from any of the refineries to date.
The new tender process will include a three-stage procedure: Expression of Interest (EOI), Technical Evaluation, and Commercial Bidding. The scope of the contract will cover long-term and short-term production and operations planning, execution, monitoring, reporting, and optimisation. It will also involve process controls, quality assurance, health and safety, and environmental management.
Interested bidders must meet several requirements, including presenting audited accounts from the past four years, proof of credit ratings, and demonstrating a minimum average annual turnover of $2 billion. Applications must be submitted via the electronic NIPEX tender portal by 12 pm on October 10.
NNPC emphasized that it seeks reputable and credible firms to ensure the sustained operation of the Warri Refining and Petrochemical Company (WRPC) and Kaduna Refining and Petrochemical Company (KRPC) to meet national fuel supply and energy security needs.
Bidders must also provide affidavits and written statements regarding their company’s financial integrity and legal standing. NNPC has stated that no communication will be entertained with bidders before the submission deadline.
In addition to these refineries, the Dangote refinery is set to begin operations in September, promising to significantly increase Nigeria’s refining capacity and provide products for both the nation and the West African region.
