The Nigerian federal government is considering the outright sale of its major refineries in Warri, Port Harcourt, and Kaduna, according to Olu Verheijen, Special Adviser on Energy to President Bola Tinubu.
The move, announced on the sidelines of the ADIPEC energy conference in Abu Dhabi, aims to foster competition and attract private capital to the downstream oil sector.
Verheijen told Bloomberg TV that the government sees divestment as “one of the options that you have to consider if you find the right technical partner with the right capital.” She added that with the removal of fuel subsidies, “we’ve removed the distortions in that market.”
The refineries in question—operated by NNPCL—have long been underutilised and heavily subsidised. In October, the company initiated a technical and commercial review of the plants.
Industry analysts welcomed the announcement but cautioned that private participation must be paired with rigorous oversight. “Successful divestment will hinge on transparent bids and accountability,” one downstream consultant remarked on condition of anonymity.
The statement arrives amid urgent calls for increased refining capacity in Nigeria, which remains heavily reliant on imported petroleum products despite decades of investment in domestic refineries.
