NNPCL Overhaul: Refinery Chiefs Axed as Tinubu Demands Results
In a bold move to revitalize Nigeria’s struggling oil sector, President Bola Tinubu has dismissed the managing directors (MDs) of the Port Harcourt, Warri, and Kaduna refineries. This shake-up, confirmed by multiple sources within the Nigerian National Petroleum Company Limited (NNPCL), signals a dramatic shift in strategy to address years of underperformance and missed production targets.
Why Were the Refinery MDs Sacked?
The decision follows mounting frustration over the refineries’ persistent failures, despite billions spent on maintenance. Key issues include:
Warri Refinery Shutdown: The $897 million revamp of the Warri Refinery flopped, with operations halted barely a month after its January 2025 restart due to safety concerns.
Port Harcourt’s Low Output: Despite resuming operations in November 2024, the Port Harcourt Refinery operates below 40% capacity.
Missed OPEC Quotas: Nigeria’s oil production has stagnated for decades, failing to meet targets set by the Organization of Petroleum Exporting Countries (OPEC).
President Tinubu’s office cited “performance failures” and a need for “new energy” as reasons for the purge. Insiders revealed that the dismissed officials “became part of the problem” and were unable to reverse declining output.
New Leadership, New Goals
Tinubu’s April 2025 overhaul replaced former NNPCL Group CEO Mele Kyari with Bayo Ojulari, an industry veteran known for leading a $2.4 billion acquisition of Shell’s Nigerian assets. Ojulari now heads an 11-member board tasked with:
1. Boosting crude production to 2 million barrels per day (bpd) by 2027.
2. Achieving 3 million bpd by 2030.
3. Expanding gas production to 10 billion cubic meters by 2030.
Other changes include the appointment of Maryam Idrisuas MD of NNPC Trading, the subsidiary managing Nigeria’s crude sales.
Industry Reactions: Experts Demand Transparency
Energy analysts and stakeholders have long criticized NNPCL’s opacity. The recent refinery scandals have intensified calls for accountability:
- Failed Upgrades: The Warri Refinery’s $897M revamp, funded by taxpayers, produced zero petrol before its shutdown.
- Safety Concerns: Leaks in Warri’s Crude Distillation Unit raised alarms about operational mismanagement.
- Public Trust Crisis: Experts argue NNPCL must adopt transparent practices to regain investor confidence.
What’s Next for Nigeria’s Refineries?
The new NNPCL management faces a steep uphill battle:
Urgent Repairs: Address safety and technical issues plaguing Warri and Port Harcourt refineries.
Private Sector Partnerships: Collaborate with indigenous firms to optimize dormant oil blocks.
Performance Metrics: Meet Tinubu’s strict 2027 and 2030 production deadlines.
Bottom Line
President Tinubu’s refinery shake-up reflects a desperate push to salvage Nigeria’s oil sector. With new leadership and ambitious targets, can NNPCL finally turn the tide? Stakeholders await tangible results—not just promises—as the clock ticks toward 2030.
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