The Economic and Financial Crimes Commission (EFCC) has arrested the recently dismissed managing directors and several top executives of the Port Harcourt Refining Company, Warri Refining and Petrochemical Company, and Kaduna Refining and Petrochemical Company.
Their arrests are linked to an investigation into the alleged mismanagement of $2.96 billion allocated to rehabilitate Nigeria’s state-owned refineries. According to findings reports, the funds under scrutiny include $1.56 billion for the Port Harcourt refinery, $741 million for the Kaduna refinery, and $657 million for the Warri facility.
Those arrested include Ibrahim Onoja, former Managing Director of Port Harcourt Refining Company Ltd, and Efifia Chu, ex-MD of Warri Refining and Petrochemical Company Ltd.
Sources within the NNPC LTD disclosed that approximately N80 billion was found in the account of one of the dismissed refinery chiefs.
A senior EFCC official confirmed the arrests and emphasized that the probe targets all key officials involved in managing the refineries during the alleged financial misconduct.
We are asking: where is the money, and what has happened to the refineries? The source told a popular online newspaper
The EFCC’s investigation has now expanded to include former top officials of NNPCL, including its immediate past Group CEO, Mele Kyari. An EFCC letter dated April 28, 2025, and addressed to the current NNPCL head, requested certified copies of emoluments and allowances for Kyari and 13 other ex-executives.
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Despite the huge sums reportedly spent, the refineries are still underperforming. The Port Harcourt refinery, which was officially recommissioned in November 2024 after a $1.5 billion upgrade, is operating at less than 40% of its capacity. Similarly, the $897 million revamp of the Warri refinery has failed to yield results, as the facility has remained shut since January 25, 2025, due to safety concerns in its Crude Distillation Unit Main Heater.
A new document from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) confirmed the shutdown and revealed that the Port Harcourt refinery had not exceeded 42.23% of its production capacity in the last six months.
The poor performance of the refineries has drawn heavy criticism from energy experts and operators. Kelvin Emmanuel, an analyst, described the refineries’ supposed relaunch as a “charade,” accusing the government of misleading the public.
He highlighted structural limitations, such as the absence of catalytic reform units and defunct crude supply pipelines, which make actual refining operations unfeasible.
The $2.96 billion could have built a brand-new 60,000-barrel-per-day refinery. Instead, we’re pouring money into outdated and broken infrastructure, Emmanuel said during a recent appearance on Arise News.
Plans to restart part of the Warri refinery are now in jeopardy due to a looming indefinite strike by support staff over poor working conditions, including casualisation and lack of benefits. The strike is set to begin on May 5, 2025.
Workers’ representative Dafe Ighomitedo noted that similar promises made in 2022 were not fulfilled, leading to growing dissatisfaction among employees.
Independent Petroleum Marketers Association of Nigeria (IPMAN) and the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) have both expressed concern over the non-availability of petroleum products from the Warri refinery.
IPMAN Delta State Chairman, Harry Okenini, lamented that marketers have had to rely on private depots at fluctuating prices since the government-owned refinery remains non-functional.
Meanwhile, PETROAN President Billy Gillis-Harry, who had earlier claimed the refineries were operational, acknowledged the recent revelations and called for further investigations.
Energy consultant Dan Kunle described the rehabilitation efforts as a “national scandal,” criticizing the federal government’s failure to involve the original Japanese builders of the refineries. He argued that the Kaduna refinery, in particular, lacks the necessary infrastructure to receive crude oil, rendering any rehabilitation effort futile.
All these efforts are wasteful,” Kunle stated. “Without functional pipelines and proper planning, spending billions on these refineries amounts to pouring money down the drain.”
