**Date:** September 4, 2023
*Former President Olusegun Obasanjo* has expressed his pessimism about the future of Nigeria’s four oil refineries located in Warri, Port Harcourt, and Kaduna. He firmly believes that these refineries will never operate efficiently as long as they remain under government ownership.
Obasanjo made these remarks during an interview with The Cable Online Newspaper, where he revealed that he had offered Shell Oil Development Company the opportunity to manage Nigeria’s refineries during his presidency, but the company had declined the offer.
He recalled that Shell had provided four main reasons for not wanting to take over the refineries, one of which was the presence of “too much corruption in refineries.”
Obasanjo’s comments come amid ongoing efforts by the Nigerian government to rehabilitate and revamp the country’s refineries. President Bola Tinubu recently assured that the Port Harcourt refinery would start production by December 2023. The government has invested substantial resources over the past decade to make local refineries operational.
However, Obasanjo’s skepticism reflects concerns about the challenges and inefficiencies that have plagued Nigeria’s petroleum industry for years.
During his interview, he also mentioned a missed opportunity when Aliko Dangote and Femi Otedola expressed interest in purchasing a 51 percent stake in the Port Harcourt and Kaduna refineries for $761 million. This deal was not realized as President Umaru Yar’Adua canceled the sale and returned the refineries to the Nigerian National Petroleum Corporation (NNPC).
Obasanjo’s perspective sheds light on the complexities and challenges involved in managing Nigeria’s oil refineries, which have struggled to operate at their full potential for years.
