$1.5bn refinery revamp: NNPC, Italian firm sign EPC contract
The Nigerian National Petroleum Corporation and Maire Tecnimont S.p.A. have signed the engineering, procurement and construction contract for the rehabilitation of Port Harcourt Refinery Company Limited.
The Italy-based company announced in a statement on Monday that its subsidiary, Tecnimont S.p.A., had been awarded a contract by the Federal Executive Council to carry out rehabilitation works for the PHRC, a subsidiary of NNPC.
The overall contract’s value is about $1.5 billion, and the project entails EPC activities for a full rehabilitation of the Port Harcourt refinery complex, aimed at restoring the complex to a minimum of 90 percent of its nameplate capacity.
The complex is composed of two refineries totaling an overall capacity of approximately 210,000 barrels per day.
Maire Tecnimont said the project would be delivered in phases from 24 and 32 months and the final stage would be completed in 44 months from the award date.
“Mr President promised Nigerians he’ll fix the refineries. We’re happy to deliver on this Presidential mandate. We’ll continue this process to also deliver on both Warri and Kaduna refineries,” the Group Managing Director, NNPC, Mallam Mele Kyari, said, according to the corporation’s Twitter post.
Maire Tecnimont Group Chief Executive Officer, Pierroberto Folgiero, said, “With this great result, we confirm the soundness of our business strategy on geography diversification, as one of its key elements is to grow and assist our clients in their revamping initiatives, leveraging on our technological know-how to ensure more efficient and environmentally better performing processes and products.
“It represents a testament of our technological DNA, as we are strongly increasing our focus on initiatives for the modernisation of the refining sector, such as these strategic rehabilitation works.
“Moreover, we enhance our footprint in Nigeria and in Sub-Saharan Africa, a market with excellent downstream prospects given its demographics and the necessity to unlock greater added value from the transformation of natural resources. We are eager to keep on supporting a leading player in the area such as NNPC to develop Africa’s downstream sector.”
