NNPC to hand over Kaduna, Warri refineries to private operators

Remilekun Awokoya

The Nigerian National Petroleum Company Limited has announced its intent to hand over Warri and Kaduna refineries to private companies.

This was stated in an advertisement posted on X by the NNPCL via its official handle.

According to the post, the company will be responsible “for the Provision of Operations and Maintenance (O&M) Services for NNPC Limited Refineries (Combined Tender): Warri Refining and Petrochemical Company (WRPC), and Kaduna Refining and Petrochemical Company (KRPC).”

The organisation is also expected to have length of experience with ‘Product Tanks/Storage Facilities Maintenance’ and ‘Commissioning/Start-Up/Post Commissioning/Turnaround Experience’.

It called on applicants to “Provide detail of your company’s experience of commissioning/start-up/post commissioning/turnaround experience for refinery projects within the last 20 years.”

The advert placed the NNPCL reads, “Expression of Interest (EOI) For the Provision of Operations and Maintenance (O&M) Services for NNPC Limited Refineries (Combined Tender): Warri Refining and Petrochemical Company (WRPC), and Kaduna Refining and Petrochemical Company (KRPC).

“NNPC Ltd is seeking to engage reputable and credible Operations & Maintenance (O&M) companies to operate and maintain two of its refineries, Warri Refining and PetrochemicalCompany (WRPC) and Kaduna Refining and Petrochemical Company (KRPC), to ensure reliability and sustainability to meet the nation’s fuel supply and energy security obligations.

“The O&M tender for WRPC and KRPC will be treated as a single tender through a three (3) stage tender process (EOI, Technical and Commercial) leveraging on all the possible opportunity cost associated with procurement of consumables, personnel/ manpower management, utilization of Computerized Maintenance Management Software (CMMS), Warehousing Management System (WMS) etc.

“The O&M Contract scope of work shall cover, but not be limited to, the following: Long term and short term production/operations planning Production and operations execution.”

It noted that the company to participate in the bidding are also expected to have a turnover of at least $2 billion USD for the financial years ending: 2020, 2021, 2022 and 2023 respectively.

This development comes amid controversies around the functionality of refineries including billions invested on the refineries with non-functionality.

Kaduna refinery has a production capacity of 110,000 barrels per day while Warri refinery has a 125,000 per days barrels capacity.

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