…Says Port Harcourt Refinery Starts Operation Q2
The Federal Government has kick-started the the Maintenance service contract for Kaduna Refining and Petrochemical Company Limited (KRPC) with the signing of contract for the Turn Around Maintenance (TAM) at a maximum cost of US$740,669,600.00. with the Daewoo.
This is coming after 15 years when the last TAM was effected at the KRPC.
The project was framed after extensive engagement with Daewoo on the Quick-Fix strategy to repair and re-stream KRP and operate it on a sustainable basis at a minimum cap.
According to briefs of the project contract, this project shall be executed in three work packages as a maintenance service contract by Daewoo E & C Nigeria limited at an estimated maximum cost ceiling of
US$740,669,600.00 with a duration of Twenty-One (21) months.
The Quick-Fix strategy guarantees the fastest route to restreaming WRPC and KRPC for in-country production of
refined petroleum products.
It is expected that restoring WRPC and KRPC back to operation will guarantee energy security for the country, reduce dependence on imported petroleum products in view of near total dependence on supply of imported petroleum products and the impact the ongoing Russia-Ukraine war is having on global supply.
Also, this will generate revenue, reduce demand for FOREX, supply raw materials to industries, create employment for Nigerians and ensure technology transfer, amongst other benefits.
The proposed quick-fix initiative on KRPC is expected to restore it to a minimum of 60% of its nameplate capacity by Q4 2024.
NNPC Limited is using a combination of internally generated revenue and third party financing to execute the repairs of the Refineries.
Post rehabilitation of the three (3) Refineries, globally reputable Operations and Maintenance (O&M) contractors shall be engaged to run the refinery Safely, Reliably, Sustainably and Profitably.
The NNPC Limited Group Managing Director, Malam Mele Kyari implored total commitment from all staff in ensuring that the project is successfully executed as over 200 million Nigerians are looking up to NNPC Limited deliver on this mandate.
He assured that the Board and Management of NNPC limited are committed to providing all the required support to ensure that the refineries are repaired and back in operation on cost and schedule.
Meanwhile, he disclosed that the rehabilitation of PHRC has progressed considerably, citing that the old refinery is currently at 64% completion and the plant is expected back in operation in Q2 2023, while the entire PHRC Rehabilitation Project currently stands at about 59%.
On the other hand, he said that the WRPC Quick-fix Project has achieved 28% completion and is expected to be restreamed by the end of this year.
Those present at the contract project singing include the Korean Ambassador, Kim, Young Chae, Ambassador Nicholas A. Ella (Director at Korean Embassy), the Economic Counsel, Mr. Choi, Jungwon to this occasion and the COO Plant Division of Daewoo E&C, Mr. CHO SEUNG IL, and his delegation to Nigeria.