Former President Olusegun Obasanjo has again cast doubt on the future of Nigeria’s state-owned refineries, saying he does not believe the facilities can return to proper operation despite repeated rehabilitation efforts.
Speaking on the long-running refinery crisis, Obasanjo said he had reached that conclusion years ago after studying the problems around their management. According to him, public-private partnership has worked in some sectors, and he had hoped a similar model could save the refineries.
He recalled that while in office he approached major international energy firms, including Shell plc, to manage the refineries, but the effort failed. He said concerns raised at the time included the size of the plants, poor maintenance culture and corruption around their operations.
Obasanjo also revisited the attempted sale of refinery stakes to businessman Aliko Dangote and associates during his administration. He said the deal offered hope for reform before it was later reversed under the late Umaru Musa Yar’Adua administration after pressure from within the oil sector.
He argued that large sums have been spent over the years trying to restore the refineries, yet little progress has followed. In his view, those investments have not delivered value, especially when compared with what private investors have put into newer refining projects.
His comments come as the NNPC continues efforts to bring in technical partners for the Port Harcourt, Warri and Kaduna plants after previous rehabilitation programmes struggled to deliver sustained production. The company has admitted the facilities have operated below global standards.
Obasanjo also praised recent remarks by NNPC leadership acknowledging the poor condition of the refineries, saying open recognition of the problem is better than pretending the system is working.
His remarks add to the wider debate over whether Nigeria should continue trying to revive government-owned refineries or fully rely on private-sector refining. With the Dangote Refinery now changing the country’s refining landscape, the future of the old NNPC facilities remains a major policy question.