The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) says private investors are set to take over part of the management of the Port Harcourt refinery under an LNG bonding model.
Dr. Joseph Obele, PETROAN’s National PRO, revealed that negotiations with an international oil firm are about 60% complete, with production expected to start by March 2026.
Currently under preservation, the refinery awaits private sector management to boost efficiency and competition.
“Right now, only one refinery operates privately. Increased competition will benefit consumers with better prices,” Obele said.
On fuel price differences, he explained that stations in River State face higher costs due to logistics.
“Dangote refinery delivers fuel at zero transport cost mainly to Lagos and Abuja, but marketers in River State pay up to ₦2.6 million for transport, pushing prices up,” he noted.
Dangote refinery has also increased daily fuel output from 25–30 million liters to 45 million liters starting December 1, aiming to prevent scarcity during the festive season.
Obele urged greater competition in Nigeria’s downstream sector to reduce fuel costs, saying, “It is unacceptable for Nigerians to pay over ₦900 per liter.
We look forward to fairer prices soon.”
Dr. Obele lectures in marketing and petroleum economics at Ignatius Ajuru University of Education.
