By Patience Moses Chat
The Nigerian National Petroleum Company (NNPC) Limited has signed a deal with the Nigerian Subsidiary of Daewoo E&C Company Limited of South Korea to fix, repair and maintain the Kaduna Refining and Petrochemical Company (KRPC).
The information about the Refinery’s upgrade was made known to the public via a tweet on Thursday, 2 February.
For many years, the Kaduna Refinery has not produced fuel, with the 110,000 barrels per day facility adding to the number of malfunctioning refineries in Nigeria.
The unfit state of the nation’s refineries remains one of the reasons for fuel shortage often experienced by people and businesses in Africa’s largest economy and most populous nation. As a result of this, the Kaduna Refinery posted a huge loss of about N22.9 billion in 2021.
In August 2022, the initial contract for the rehabilitation of the refinery under review was approved by the Federal Executive Council. There have been media reports that the contractual terms for fixing the Kaduna Refinery also cover the rehabilitation of the Warri Refinery, and the job was estimated to cost $1.5 billion.
A statement credited to official sources at the Presidency said that Nigeria has a good relationship with Daewoo, as the company is currently conducting repairs on the Warri refinery, which is expected to deliver fuel to the public before the end of the year.