Page 8 - DMEA Week 37 2021

DMEA REFINING DMEA

NNPC sells electricity from

Kaduna, Warri refineries

AFRICA NIGERIA National Petroleum Corp. (NNPC) months as refinery utilisation remained at 0%.
sold $1.1mn worth of electricity from its refin- The losses fluctuated between NGN5bn and
eries at Kaduna and Warri in 2020 despite its full NGN10bn ($12-24mn) per month to give a total
refining slate having been offline throughout the loss of $253mn, with the firm highlighting that it
year. had continued to pay operating expenses for the
The company has not processed any crude inactive facilities.
since mid-2019, but the Kaduna and Warri units In a press release, the company said: “The
remain capable of utilising their generation declining operational performance is attributa-
capacity of 179 MW. ble to ongoing revamping of the refineries, which
In addition to its refining throughput capac- is expected to further enhance capacity utilisa-
ity of 125,000 barrels per day (bpd), the Warri tion once completed.” However, work to rehabil-
Refining and Petrochemical Co. (WRPC) can itate the refineries was only kicked off after the
generate 125 MW of electricity from three gas 12-month period ended.
turbine generators and three steam turbogenera- NNPC said in July that work on Port Har-
tors, while Kaduna Refining and Petrochemical court by Italy’s Maire Tecnimont was in full
Co. (KRPC) has four 14-MW steam turbines, swing, noting that the first refined products fol-
giving it a total capacity of 56 MW in addition to lowing the repairs are expected to be delivered by
refining 110,000 bpd of crude. September next year. It will come back on stream
According to NNPC documents, KRPC in stages, with the full $1.5bn project not antic-
earned $70,000 from electricity sales in 2020, up ipated to be completed until late 2024, when it
from zero the year before, while WRPC earned should reach 90% of its 210,000 bpd nameplate
$1.05mn last year, down 6% year on year. capacity.
In August, NNPC provided its financial The following month, fellow Italian com-
statements for the 13 months to February 2021, pany Saipem was awarded another $1.5bn deal
which showed that it made a loss in each of those to rehabilitate Kaduna and Warri.™

P8 www. NEWSBASE .com Week 37 16•September•2021