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NNPC yet to begin refineries’ revival plan as it seals $2.5bn Chinese pipeline deal

Plans of delivering its inauguration pledge of making all four moribund refineries to begin export of refined products effective 2023 have remained in the cooler of the Nigerian National Petroleum Corporation (NNPC).

Recall that the Group Managing Director of the Corporation, Mr Mele Kyari, had while taking over from the former GMD, assured Nigerians that his leadership will among other things, work towards turning the fortunes of the refineries into becoming not only active but exporting refined products before the end of the current second term of President Muhammadu Buhari.

However, the Corporation has stepped up drive towards sourcing for partners and financiers in the multibillion dollar pipeline project in Nigeria.

Already, the GMD has revealed that NNPC has consummated a deal to a $2.5bn financing understanding with a Chinese lender (name with held) for pipeline project in Nigeria.

Giving insights in an interview with Bloomberg TV, monitored in Abuja, Kyari averred that “It is a pipeline contractor project that will deliver 3,600 megawatts of power at the first instance and particularly supply two billion SCF/d of gas which is quite significant in the contest of our current situation. And of course, financing is everything. What we did is to get a Chinese company; it has been a long conversation and it is very close to financial closure.”

According to him, “NNPC had secured 15 per cent owner financing from the Chinese firm, which is close to $430m already, and that the NNPC was expecting closure of 85 per cent, amounting to about $2.5bn.”