In a renewed effort to resolve Nigeria’s long-standing refining challenges, the Nigerian National Petroleum Company Limited has secured a new partnership with two Chinese firms, signaling a shift toward external technical support and potential equity participation in its refinery operations.
The agreement, signed with Sanjiang Chemical Company Limited and Xingcheng (Fuzhou) Industrial Park Operation and Management Co., Ltd., is aimed at accelerating the rehabilitation and eventual full-scale operation of Nigeria’s struggling refineries in Port Harcourt and Warri.
The move comes months after the Port Harcourt Refining Company was shut down again on May 24, 2025, for maintenance and performance review less than a year after it resumed operations following a $1.5 billion overhaul. The stop-start cycle has intensified scrutiny over the sustainability of government-led refinery rehabilitation efforts.
By introducing a framework that allows for technical equity partnerships, NNPC appears to be opening the door to deeper foreign involvement in refinery management an approach analysts say could improve efficiency but may also spark debate over national control of critical energy assets.
The Memorandum of Understanding was formalised on April 30, 2026, in Jiaxing City. It was signed by NNPC’s Group Chief Executive Officer, Bashir Bayo Ojulari, alongside Sanjiang Chairman Guan Jianzhong and Xingcheng Industrial Park Chairman Bill Bi.
Speaking at the signing, Ojulari described the agreement as a turning point for Nigeria’s refining sector. “This partnership represents a strategic step toward restoring operational efficiency and ensuring the long-term sustainability of our refineries, We are not just rehabilitating assets; we are repositioning them to operate competitively on a global scale,”he said.
Also commenting, Guan Jianzhong noted that the collaboration reflects growing confidence in Nigeria’s energy sector. “We see significant potential in working with NNPC to bring technical expertise and innovation that will enhance refining capacity and performance,” he said.
Bill Bi, Chairman of Xingcheng Industrial Park, added that the partnership goes beyond infrastructure upgrades. “Our goal is to support a comprehensive industrial ecosystem that ensures these refineries operate efficiently and deliver consistent value,” he stated.
NNPC officials described the deal as a significant step in repositioning Nigeria’s refining sector, which has for years struggled with underperformance, inefficiency, and heavy reliance on fuel imports despite the country’s vast crude oil reserves.
The latest development underscores a growing urgency within the national oil company to not only restore refining capacity but also adopt new operational models that can deliver consistent output and reduce Nigeria’s dependence on imported petroleum products.