By Our Correspondent
National News – The Nigerian National Petroleum Company Limited is considering a major partnership that could see Chinese investors acquire a 51 per cent stake in the Port Harcourt and Warri refineries.
The proposed deal, which emerged after the signing of a Memorandum of Understanding in China, is aimed at rehabilitating, expanding and commercially repositioning the two state-owned refineries.
The agreement was signed in Jiaxing City, China, on April 30, 2026, between NNPC and Chinese firms Sanjiang Chemical Company Limited and Xinganchen Industrial Park Operation and Management Co. Ltd.
According to officials familiar with the discussions, the partnership is expected to follow an NLNG-style model that allows foreign investors to hold majority equity, participate in governance and oversee long-term operations.
The proposed refinery investment plan would cover the completion of engineering and construction work at the Port Harcourt and Warri facilities.
It would also include operations, maintenance, refinery capacity expansion and fuel production upgrades to meet cleaner energy standards.
Industry sources said the Chinese partners may also help develop petrochemical and gas-based industrial hubs around the refineries to improve profitability and sustainability.
NNPC Group Chief Executive Officer, Bayo Ojulari, described the agreement as a major step towards identifying technical equity partners capable of reviving Nigeria’s struggling refineries.
Energy experts believe the move reflects concerns about the effectiveness of previous rehabilitation efforts.
Executive Secretary of the Major Energies Marketers Association of Nigeria, Clement Isong, said involving technical investors with ownership stakes could improve efficiency because the partners would directly benefit from the refineries’ success.
The planned agreement is still at the discussion stage and remains subject to technical, financial, legal and regulatory approvals before final contracts can be signed.
If finalised, the partnership could significantly increase Chinese involvement in Nigeria’s downstream oil and gas sector while reshaping the future of the country’s refining industry.
