Business

Stakeholders in the oil and gas industry have said the commencement of production at the Port Harcourt Refining Company will engender competition, crash the pump price of petroleum products and create jobs for Nigerians.

Recall that the Group Chief Executive Officer of the Nigerian National Petroleum Company Limited, Mele Kyari had on Tuesday inaugurated a 60,000 barrel per day capacity plant at the old Port Harcourt Refinery Deport.

During the event, Kyari said the other sections of the refinery will be completed in due course.

The stakeholders, including the Independent Petroleum Marketers Association of Nigeria, said this while speaking with newsmen at the sideline of resumption of production at the Port Harcourt Refinery and loading of trucks at the facility located in Eleme, Rivers State on Tuesday.

The IPMAN Chairman in Rivers State, Tekena Ikpaki, said the coming on stream of the Port Harcourt Refinery while confirming the loading of products into trucks while describing it as a remarkable achievement.

Ikpaki stated, “This will remain memorable in our lives and in our hearts because it has been long expected.

“Now it is no longer expected, it is real, it can be seen and felt. Trucks have been coming in and loading out and we have been witnessing the process.”

Asked what the operation of the Port Harcourt Refinery and the Dangote Refinery together mean for the downstream sector, he said it will engender competition and reduce the cost of petroleum products.

Tekena stated, “You know in God’s time He makes all things beautiful and this is just the best thing that will happen to Nigerians. I mean there is super competition now in the system which is in favour of the entire Nigerians.

When Dangote and the NNPCL are at loggerheads and they are competing, who enjoys the dividends? Of course you and I. So I believe that since the refinery has come on stream, Dangote is there too, it will further push down the price of products.

“Over the weekend, Dangote had announced price reduction both on the marine and trucking, coming from perhaps the resumed operation of the Port Harcourt Refinery. So I think price reduction will be experienced and it will be in our favour and the favour of Nigerians.”

While expressing the optimism that more trucks are expected to come into the facility to load products in the coming days, saying the event of Tuesday was a test run.

“Yes because it is still a test run. You know the place (Refinery) has been moribund for some time. For now, it is still hypothetical but in no distant time everything will be in its proper place and the inflow of trucks will be seen again the way it used to be, ” the Rivers State IPMAN Chairman said.

On its part, the Petroleum Product Retail Outlet Owners Association of Nigeria said the commencement of production after five years will create job opportunities, boost the nation’s economy and bring about competition in the downstream sector.

The National Public Relations Officer of PETROAN, Joseph Obelle said this also corroborated the opinion of IPMAN that it will lead to a reduction in the price of Premium Motor Spirit also known as Petrol.

Obellei further said the association will continue to work with the management of the NNPCL, retail management and other stakeholders to ensure that products lifted at the Port Harcourt Refinery depot are well distributed to all nooks and crannies of the nation.

He commended President Bola Tinubu and the management of the NNPCL for their commitment to reviving the refinery.

He commended President Bola Tinubu and the management of the NNPCL for their commitment to reviving the refinery.

He added, “PETRAON expresses optimism for the commencement of production at the Port Harcourt Refinery.

“We are so sure that it will offer job opportunities, boost the economy of the country and trigger competition in the downstream sector which we reflect significantly to price reduction.

“We want to commend the leadership of the NNPC led by the Group CEO, Mele Kyari for demonstrating leadership with his team towards seeing the Port Harcourt Refinery becoming a reality.”

Obelle added, “Funding would have been an issue if not for the determination of Mr President. So we also commend President Bola Tinubu for releasing funds for the Port Harcourt Refinery rehabilitation”

Olayemi Cardoso, Governor of the Central Bank of Nigeria (CBN), has announced an increase in the country’s foreign reserves to $40.88 billion as of November 21, 2024.

Cardoso disclosed this on Tuesday during a press conference following the 298th meeting of the Monetary Policy Committee (MPC) in Abuja.

According to the CBN governor, the reserves grew from $40.06 billion at the end of October to $40.88 billion in November, reflecting an increase of $82 million or 2.05 percent over 21 days.

“The external reserves rose marginally to $40.88 billion as of November 21, 2024, from $40.06 billion at the end of October 2024, sufficient to finance 17 months of imports,” Cardoso said.

However, data on the CBN’s official website indicated that Nigeria’s foreign reserves stood at $40.27 billion on November 22, slightly below the figure presented by the governor.

Cardoso attributed the rise in reserves to effective policy measures implemented by the bank, which he said are delivering positive results.

“It is a clear indication that the policies we have put in place are yielding fruits,” he said. “Reserves are there for various purposes, including serving as buffers against unanticipated economic shocks.”

The CBN governor emphasized that reserves are not meant for indiscriminate use but to stabilize the economy during unforeseen challenges.

“We must understand that reserves are not there to simply deplete. They are critical for defending the economy during times of unexpected shocks, which we have seen in global economies,” he added.

Cardoso also highlighted the bank’s ongoing efforts to stabilize the currency and maintain price stability.

“The currency has been more stable compared to what it was in June,” he said. However, he noted that achieving lasting stability requires increased exports and diversification of the economy.

The governor further announced that diaspora remittances have risen significantly due to recent policies, reaching over $600 million. He praised Nigerians in the diaspora for their contributions to the country’s economic development.