Port Harcourt Modular Refinery Doubles Output, Eyes Regional Fuel Supply

A modular refinery on the outskirts of Port Harcourt has doubled its daily processing capacity following an equipment upgrade completed earlier this month, according to the facility's management, positioning it to supply diesel and kerosene beyond its traditional Rivers State customer base.

The refinery, one of a growing number of indigenous modular plants that have come online in the Niger Delta over the past several years, said the expansion was funded through a mix of local bank financing and reinvested earnings. Management said the plant now sources a larger share of its crude feedstock directly from marginal field operators in the region under long-term supply arrangements.

"This is proof that local content in refining can work when the feedstock and financing questions are solved together," the refinery's chief operating officer said during a facility tour with journalists.

Analysts tracking Nigeria's downstream sector say modular refineries have become an increasingly important complement to larger refining capacity, particularly for meeting localised diesel demand in the Niger Delta and reducing reliance on imported refined products. However, operators continue to cite feedstock security and access to foreign exchange for spare parts as ongoing challenges.

The company said it plans to begin supplying distributors in neighbouring states within the next quarter, alongside a planned expansion into LPG bottling.