Nigeria’s state oil firm NNPC is in talks with a major Chinese company over partnering on one of its struggling refineries, its chief executive said Wednesday.
NNPC boss Bayo Ojulari said the company is seeking experienced operators as equity partners to revive four refineries battered by years of losses.
An internal review conducted after he took office last April found soaring costs, heavy contractor spending, and persistently low processing volumes.
Ojulari said NNPC’s board has approved a shift away from contractors toward seasoned refinery operators with proven technical expertise.
He confirmed advanced discussions with several potential investors, including a Chinese firm that operates one of China’s largest petrochemical plants.
Ojulari said representatives from the Chinese company were scheduled to inspect the refinery, signalling talks had entered a decisive phase.
Nigeria’s ageing refineries have long run far below capacity, forcing Africa’s top oil producer to rely heavily on imported fuel.
The government hopes new partnerships will finally reverse that dependence and restore domestic refining capacity.
Ojulari said refinery operations were halted to assess recovery options, helped by supply relief from the newly launched Dangote Refinery.
He stressed NNPC is not selling its refineries but will cede minority equity stakes so the plants can finance themselves sustainably.
