NNPCL Launches Pipeline, Depot Rehabilitation Project to Strengthen Nigeria’s Energy Infrastructure

By Francis Sadhere, Warri

The Nigerian National Petroleum Company Limited (NNPCL) has begun a comprehensive rehabilitation of its pipelines and depots, a move aimed at bolstering the country’s energy infrastructure for long-term benefits.

Olufemi Soneye, the company’s Chief Corporate Communications Officer (CCCO), confirmed the development in an interview on Sunday, outlining that the project is expected to take two to three years to complete.

Soneye emphasized that the rehabilitation efforts will address persistent challenges in petroleum distribution and ultimately lead to a more sustainable energy system.

“Upon completion, Nigeria will benefit from a steady crude oil supply to refineries, seamless product distribution via pipelines, reduced reliance on truck transportation, improved energy security, and lower fuel importation costs,” he explained.

The CCCO further noted that the initiative would also help reduce road hazards caused by fuel tankers, thus improving safety across the country’s transportation network.

He assured Nigerians that NNPCL is committed to executing the project with a structured financial model, strategic partnerships, and dedicated efforts to ensure its success.

Despite facing financial constraints, which pose challenges in simultaneously carrying out refinery and pipeline rehabilitation, Soneye stated that the company is exploring innovative and cost-effective approaches to secure funding.

He also revealed that NNPCL would implement the Finance, Build, Operate, and Transfer (FBOT) model as part of the funding strategy for the pipeline and depot rehabilitation.

Soneye elaborated that the rehabilitation work would not only involve replacing outdated pipelines but would also incorporate advanced technology to enhance pipeline security, prevent vandalism, and modernize storage terminals. These measures are designed to support the country’s long-term energy goals.

In line with the NNPCL’s broader objective to make Nigeria a self-sufficient producer and net exporter of refined petroleum products, the rehabilitation of the pipelines and depots is seen as a crucial first step.

This follows the successful restoration of the Port Harcourt and Warri refineries, which are slated to be fully operational by the end of 2024.

Soneye further confirmed that work on new refineries in Port Harcourt and Kaduna is progressing well, marking significant strides towards eliminating the need for fuel imports.

He added that NNPCL’s ongoing efforts signal a major transformation in Nigeria’s energy sector, with the company committed to ensuring a more stable, efficient, and self-sustaining petroleum supply system for the future.