The Nigerian National Petroleum Company Limited has signed a Memorandum of Understanding, MoU, with two Chinese firms for the restart, operation, and expansion of the Warri and Port Harcourt refineries as part of efforts to restore Nigeria’s refining capacity and reduce dependence on imported petroleum products.
The agreement, signed with Sanjiang Chemical Company Limited and Xingcheng (Fuzhou) Industrial Park Operation and Management Co., Ltd., is expected to lay the foundation for a Technical Equity Partnership aimed at completing ongoing rehabilitation works and ensuring efficient, sustainable operations at both facilities.
According to a statement issued on Monday by NNPC’s Chief Corporate Communications Officer, Andy Odey, the MoU was executed in Jiaxing City, China, on April 30, 2026.
The document was signed by NNPC Group Chief Executive Officer, Bashir Bayo Ojulari, alongside Chairman of Sanjiang Chemical Company, Guan Jianzhong, and Chairman of Xingcheng Industrial Park Operation and Management Co., Ltd., Bill Bi.
Under the proposed partnership, the Chinese firms will support the completion of outstanding rehabilitation works at the refineries while also participating in their operation and maintenance to ensure long-term performance and sustainability.
The agreement will also explore the expansion and upgrade of the facilities to meet cleaner fuel standards, improve profitability, boost petrochemical production capacity, and support the development of gas-based industrial hubs around the refinery locations.
Speaking after the signing, Ojulari described the agreement as a major milestone following months of negotiations.
“All parties recognise mutually beneficial opportunities for the development and long-term sustainability of NNPC’s refining assets,” he said.
He added that the MoU marks a significant step toward securing technical partners for the rehabilitation and expansion of Nigeria’s refineries, while also unlocking fresh opportunities in petrochemicals and gas-based industrial development.
Ojulari, however, clarified that the agreement remains non-binding and is subject to regulatory approvals and further negotiations.
The Port Harcourt Refining Company rehabilitation project was approved in 2021 at an estimated cost of $1.5 billion, with contracts awarded to Italian engineering firm Saipem and other partners to restore its installed capacity of 210,000 barrels per day.
Similarly, the Warri Refining and Petrochemical Company is undergoing rehabilitation under a contract valued at approximately $897 million, aimed at reviving its 125,000 barrels per day processing capacity while integrating petrochemical production.
Both projects form part of NNPC’s broader strategy to revive domestic refining, strengthen energy security, and cut the country’s reliance on imported petroleum products.
The Port Harcourt refinery had briefly resumed operations in late 2024 after years of inactivity but was later shut down due to operational and financial challenges.
