NNPC hands over management of Warri, Kaduna refineries to private operators

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The Nigerian National Petroleum Company (NNPC) Limited has unveiled plans to hand over the management and maintenance of the Warri and Kaduna refineries to private operators.

The announcement, which was made through a circular on NNPC’s official X account, explained that the move was geared towards strengthening the nation’s petrol supply and boosting energy security.

Consequently, the firm is in search of reputable and credible Operations & Maintenance (O&M) companies to oversee the Warri Refining and Petrochemical Company (WRPC) and the Kaduna Refining and Petrochemical Company (KRPC).

The circular disclosed that tender process for selecting these companies will be in three stages, comprising the Expression of Interest (EOI), Technical Evaluation, and Commercial Evaluation.

It also noted that the process would focus on optimising cost-saving opportunities in consumable procurement, personnel management, and the use of advanced systems like Computerised Maintenance Management Software (CMMS) and Warehousing Management System (WMS).

Furthermore, to qualify, the bidding companies are required to meet certain criteria:

Proof of company registration and incorporation issued by the relevant governing body.

A certified true copy of the Certificate of Incorporation from the Corporate Affairs Commission (CAC) within the last 12 months, along with the CAC’s latest annual return.

Statutory documents indicating the company’s ownership structure, including names of major shareholders and their percentage holdings.

A detailed company profile and a signed letter of application on the company’s official letterhead, including contact details and a verified office address.

A valid Tax Clearance Certificate for the past three years (2021, 2022, and 2023) from the Federal Inland Revenue Service for national companies, or similar documentation for foreign firms.

Financial statements for the last three years (2021, 2022, and 2023).

Assurance of the company’s capacity to undertake and complete the contract within the specified timeframe.

The Warri Refinery, located in Warri, Delta State, was commissioned in 1978 and is a complex conversion refinery with a nameplate distillation capacity of 6,250,000 metric tonnes per annum (MTA), equivalent to 125,000 barrels per day (bpd).

The refinery complex includes a petrochemical plant commissioned in 1988, with production capacities of 13,000 MTA of polypropylene and 18,000 MTA of carbon black.

The Warri refinery is strategically positioned to supply petroleum products to the southern and southwestern regions of Nigeria whereas the Kaduna Refinery was commissioned in 1980 to meet the petroleum needs of Northern Nigeria, with an initial capacity of 50,000 bpd.

This has been expanded, as the refinery’s current capacity is 110,000 bpd.

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