Business
NNPC refineries may never work again – Dangote
NNPC refineries may never work again – Dangote
The President of Dangote Group, Aliko Dangote, has expressed deep skepticism over the possibility of Nigeria’s state-run refineries — located in Port Harcourt, Warri, and Kaduna — ever becoming operational again.
Speaking on Thursday during a visit by members of the Global CEO Africa delegation from the Lagos Business School to the Dangote Petroleum Refinery in Lekki, Lagos, the billionaire industrialist criticized the Nigerian National Petroleum Company Limited (NNPC) for failing to get the refineries working, despite significant financial investments.
According to Dangote, the government-run refineries have consumed approximately $18 billion with no tangible output. In contrast, he noted that his privately built 650,000-barrel-per-day refinery allocates more than half its capacity to producing Premium Motor Spirit (petrol), unlike the government-owned refineries which only managed about 22 per cent.
Dangote recounted the failed attempt to privatise the facilities during the administration of former President Olusegun Obasanjo, which was reversed under the leadership of the late President Umaru Musa Yar’Adua.
“The refineries that we bought before, which were owned by Nigeria, were doing about 22 per cent of PMS. We bought the refineries in January 2007. Then we had to return them to the government because there was a change of government,” he said.
“And the managing director at that time convinced Yar’adua that the refineries would work. They said they just gave them to us as a parting gift or so. And as of today, they have spent about $18bn on those refineries, and they are still not working. And I don’t think, and I doubt very much if they will work,” he added.
He likened the ongoing efforts to revive the outdated refineries to attempting to modernize a decades-old automobile with new technology.
“(The turnaround maintenance) is like you trying to modernise a car that was built 40 years ago, when technology and everything have changed. Even if you change the engine, the body will not be able to take the shock of that new technology engine,” Dangote explained.
READ ALSO:
- Missing 3-year-old boy found inside Igando soakaway in Lagos
- WAFCON: Ihezuo late strike gives Nigeria quarter-finals ticket over Botswana
- UNIZIK law student denied ₦120,000 insulin dies
His comments reinforce earlier criticisms from former President Obasanjo, who last year also questioned the viability of the refineries. Obasanjo had said the NNPC lacked the capacity to operate them and recalled how even international oil giants, such as Shell, declined his request to take over the facilities.
“I ran to him (Yar’Adua), I said, ‘You know this is not right’. He said, ‘Well, NNPC said they can do it.’ I said, ‘NNPC cannot do it,’ I told my successor that ‘the refineries, from what I heard and know, will not work and when you want to sell them, you will not get anybody to buy them at $200m as scrap’. And that is the situation we are in,” Obasanjo said.
“So, why do we do this kind of thing to ourselves? NNPC knew that they could not do it, but they knew they could eat and carry on with the corruption that was going on in NNPC. When people were there to do it, they put pressure. In a civilised society, those people should be in jail,” he added.
Reiterating his stance earlier this year, Obasanjo said: “I was told not too long ago that since that time, more than $2bn have been squandered on the refineries and they still will not work.
“If a company like Shell tells me what they told me, I will believe them. If anybody tells you now that it (the refinery) is working, why are they now with Aliko (Dangote)? And Aliko will make his refinery work; not only make it work, he will make it deliver.”
He concluded with a Yoruba proverb, drawing a comparison between overstated promises and reality: “They say that after he has harvested 100 heaps of yams, he will also have 100 heaps of lies. You know what that means.”
Pressure has mounted in recent months for the Federal Government to privatise the NNPC-managed refineries, following repeated breakdowns despite official claims of their revival. The Port Harcourt facility, which reportedly resumed operations late last year, was shut down again within six months. Similarly, the Warri refinery ceased operations just one month after being declared functional in December by former NNPC Group Chief Executive Officer, Mele Kyari.
The Manufacturers Association of Nigeria and several stakeholders in the energy sector have described the refineries as a financial burden and called for their sale. Some crude oil refiners have even recommended selling them as scrap and redirecting the proceeds to support modular refinery projects.
Despite recurring allocations of public funds, the refineries remain inactive. In 2021 alone, the government approved $1.4 billion for Port Harcourt’s rehabilitation, $897 million for Warri, and $586 million for Kaduna. That same year, N100 billion was spent on refinery maintenance, with a monthly expenditure of N8.33 billion. Additionally, $396.33 million was allocated to turnaround maintenance efforts between 2013 and 2017.
NNPC refineries may never work again – Dangote
(PUNCH)
Entertainment
NRC, Entertainers Finalise Plans for 2026 Valentine Train Ride
NRC, Entertainers Finalise Plans for 2026 Valentine Train Ride
A team of leading Nigerian artistes and entertainment executives has paid a courtesy visit to the Managing Director of the Nigerian Railway Corporation (NRC), Kayode Opeifa, ahead of the 2026 Valentine Love Train experience.
The delegation included celebrated musician Sunny Neji, Managing Director of Ojez Entertainment Limited, Joseph Odobeatu, and veteran vocalist Yinka Davies.
The high-profile visit formed part of final preparations for the Valentine-themed train ride scheduled for Saturday, February 14, 2026, at the Mobolaji Johnson Train Station.
Dr. Opeifa received the artistes and commended the creative industry for choosing the national rail system as the venue for the annual Valentine event. He noted that the partnership reflects growing public confidence in the corporation’s safety standards, operational improvements, and renewed focus on customer experience.
READ ALSO:
- 2027 General Elections: INEC Announces February 20 for Presidential Poll
- EFCC Nabs Three in Borno Over Viral ₦500 Naira Mutilation Video
- Omokri Accuses El-Rufai of Rights Abuses During Kaduna Governorship
“The 2026 edition aims to deliver an unforgettable experience while deepening public engagement with the rail service,” Opeifa said, reaffirming the NRC’s commitment to providing secure and efficient transport for passengers during special events.
Organisers disclosed that this year’s edition will feature an expanded entertainment lineup, including performances and appearances by Charles Inojie, Yinka Davies, Sunny Neji, and Segun Arinze. Guests are expected to enjoy live music, comedy, a couple’s game show, fashion showcases, and special performances throughout the Lagos–Ibadan–Lagos train ride, culminating in a Valentine banquet ball.
The Valentine Love Train has in recent years become a fixture on the NRC’s festive calendar, attracting couples, families, and leisure seekers with its blend of travel, romance, and entertainment. The initiative also aligns with ongoing efforts by the corporation to promote rail transportation as a viable and enjoyable alternative for intercity travel.
With final logistics being fine-tuned, organisers say the 2026 edition promises to combine safety, comfort, and premium entertainment for participants.
NRC, Entertainers Finalise Plans for 2026 Valentine Train Ride
Auto
Lagos Motor Fair, Autoparts Expo to begin March 17, targeting Investment, Industry Growth
Lagos Motor Fair, Autoparts Expo to begin March 17, targeting Investment, Industry Growth
The 20th edition of the Lagos International Motor Fair and the 13th Africa Autoparts Expo is set to spotlight investment, technology transfer and industry collaboration as organisers intensify efforts to position Nigeria as a major automotive hub in West Africa.
The three-day event, which will also incorporate the Africa Motorcycle and Tricycle Expo, is scheduled to hold from March 17 to 19, 2026, at the Federal Palace Hotel in Lagos.
Organisers said the upcoming edition would focus strongly on accelerating the development of the country’s automotive sector by creating platforms that connect global manufacturers with local industry players.
“Nigeria has all it takes to become a global automotive industry giant,” the organisers stated, noting that the fair remains a strategic contribution toward driving growth despite prevailing industry challenges.
Chairman of the Organising Committee, Ifeanyichukwu Agwu, said the exhibitions had over the years evolved into a key platform for attracting investment into automobile spare parts and accessories manufacturing while strengthening aftermarket activities across the region.
“We have consistently used these events to attract investment into auto components manufacturing and to showcase the enormous capacity and potential of this critical sector of the economy,” he said.
READ ALSO:
- First Daughter of Murtala Muhammed Reflects on Life Without Father, Preserving His Legacy
- Anambra Police Arrest Motel Owner, Two Others Over Firearms, Drug Trafficking
- 2 Nigerians Killed While Fighting for Russian Army in Ukraine War
Agwu, who also serves as Managing Director of BKG Exhibitions Limited, disclosed that the 2026 edition would place emphasis on business-to-business engagement between original equipment manufacturers (OEMs) and auto parts dealers from Nigeria and neighbouring countries.
According to him, the goal is to foster partnerships capable of leading to the establishment of component manufacturing plants locally.
He added that the exhibition is expected to support government policies aimed at building a sustainable automotive industry by stimulating the emergence of companies involved in component production.
Calling for policy adjustments, Agwu urged the Federal Government to prioritise spare parts and components manufacturing over vehicle assembly, arguing that deeper technology transfer and innovation occur within the components segment.
“Spare parts manufacturing is where real technology transfer occurs. It involves precision engineering, planning and innovation—far beyond the coupling processes involved in assembly,” he said, while also advocating a review of the existing automotive policy to better support local production.
Despite the challenges associated with hosting large-scale industry events, Agwu reaffirmed the organisers’ commitment to sustaining the platform, warning that neglecting the automotive sector could have far-reaching consequences for the economy and employment.
The organisers said more than 100 original components manufacturers from countries including China, India, South Korea, South Africa, Singapore and Turkey, alongside major automobile distribution and manufacturing companies operating in Nigeria, are expected to participate.
In addition to product exhibitions, the event will feature seminars and technical workshops focusing on policy, investment opportunities, technology transfer and industry best practices, with each day structured to deliver value to exhibitors, investors, policymakers and other stakeholders.
Lagos Motor Fair, Autoparts Expo to begin March 17, targeting Investment, Industry Growth
Business
Naira Could Trade Below ₦1,000/$ With Dangote Refinery at Full Capacity — Otedola
Naira Could Trade Below ₦1,000/$ With Dangote Refinery at Full Capacity — Otedola
Billionaire businessman Femi Otedola has projected that the naira could strengthen to trade below ₦1,000 per US dollar as the Dangote Petroleum Refinery achieves full operational capacity. The prediction comes as Nigeria anticipates a major boost in domestic fuel production, potentially reducing import dependence and easing pressure on the foreign exchange market.
Otedola made the projection in a post on X, congratulating Aliko Dangote on the refinery reaching its designed processing capacity of 650,000 barrels per day (bpd). He described the milestone as a historic moment for Nigeria’s energy sector, saying it could positively impact the naira exchange rate, foreign reserves, and overall economic stability.
According to Otedola, the refinery’s capacity to produce up to 75 million litres of Premium Motor Spirit (PMS) daily positions Nigeria to meet domestic fuel demand and even generate surplus for export. He highlighted that this would reduce the country’s reliance on imported petroleum products, which historically exerted heavy pressure on the naira and foreign exchange resources.
READ ALSO:
- Adeyanju Urges EFCC, DSS to Probe El-Rufai Over Alleged Corruption, Insecurity in Kaduna
- Granite-Laden Truck Kills Motorist, Leaves Wife Critically Injured in Lekki–Ajah Crash
- City Boy Movement Receives Bus Donations from Zenco, Obi Cubana for Tinubu’s Campaign
“With domestic refining now firmly underway after decades of reliance on imports, pressure on the foreign exchange market should ease significantly, potentially pushing the naira below ₦1,000/$ before year-end,” Otedola said. He also noted that the EFCC and monetary authorities’ support in maintaining a conducive economic environment would complement these gains.
The Dangote Refinery, located in the Lekki Free Zone, Lagos, is Africa’s largest single-train refinery. Experts say that reaching full production will conserve billions of dollars previously spent on importing refined petroleum products and strengthen Nigeria’s foreign exchange reserves. Plans are also underway to expand refining capacity to 1.4 million bpd, with increased production of petrochemicals like polypropylene and linear alkyl benzene, further reducing industrial import dependence.
Economic analysts have welcomed the refinery’s milestone but caution that naira stability will still depend on broader macroeconomic reforms, oil prices, foreign capital inflows, and Central Bank of Nigeria (CBN) policies. Nevertheless, Otedola’s projection reflects renewed optimism that domestic refining capacity could be a turning point for the Nigerian economy, energy security, and the foreign exchange market.
Naira Could Trade Below ₦1,000/$ With Dangote Refinery at Full Capacity — Otedola
-
metro1 day agoIKEDC Sets Feb 20 Deadline for Customers to Submit Valid IDs or Face Disconnection
-
Education1 day agoSupreme Court Affirms Muslim Students’ Right to Worship at Rivers State University
-
metro17 hours agoLagos Police Launch Manhunt for Suspect in Brutal Ajah Murder
-
Business3 days agoDangote Refinery Slashes Petrol Price to ₦774, Ends PMS Bonus Window
-
News18 hours agoAso Rock Goes Solar as Tinubu Orders National Grid Disconnection
-
Business1 day agoNaira Could Trade Below ₦1,000/$ With Dangote Refinery at Full Capacity — Otedola
-
metro2 days agoKwara, Katsina Bloodshed: TMC Condemns Attacks, Dismisses ‘Jihadist Preacher’ Claims
-
metro1 day agoArmy University Professor Dies in Boko Haram Captivity After Nearly One Year