The government-owned refineries, being run by the Nigerian National Petroleum Corporation, reported a total loss of N778.71bn from 2015 to 2019, an analysis of data collated from their financial statements has shown.
The refineries generated total revenue of N21.12bn in the five-year period as they operated at below their full capacities.
The refineries, which are located in Port Harcourt, Kaduna and Warri, have a combined installed capacity of 445,000 barrels per day.
The country relies largely on importation of refined petroleum products as its refineries have remained in a state of disrepair for many years despite several reported repairs.
Port Harcourt Refining Company generated a complete sales of N10.33bn from 2015 to 2019, but published a lack of N229.14bn.
The refinery generated zero sales in 2019; N1.46bn in 2018; N4.82bn in 2017; N3.37bn in 2016, and N683.52m in 2015.
It lost N50.53bn in 2019; N45.59bn in 2018; N53.77bn in 2017; N43.44bn in 2016, and N35.81bn in 2015.
Kaduna Refining and Petrochemical Company suggested revenue of N4.17bn and a lack of N307.27bn inside the 5-12 months length.
The refinery generated sales of N37.17m in 2019, in comparison to zero revenue suggested in 2018. Its revenue had risen to N2.24bn in 2017 from N1.47bn in 2016 and N418.76m in 2015.
It published a loss of N65.99bn in 2019, N63.64bn in 2018, N111.89bn in 2017, N30.19bn in 2016 and N35.56bn in 2015.
Warri Refining and Petrochemical Company published a revenue of N6.62bn and a lack of N242.30bn inside the period under evaluate.
Its sales dropped to N921.82m in 2019 from N1.99bn in 2018 and N1.25bn in 2019. It had risen from N884.39m in 2015 to N1.58bn in 2016.
The refinery recorded a lack of N51.66bn in 2019, compared to N52.18bn in 2018, N84.60bn in 2017, N24.50bn in 2016 and N29.36bn in 2015.
Kaduna refinery, in its 2019 annual report, said its losses had arisen principally from its inability to operate profitably under its current processing settlement with its discern company, NNPC.
The report stated, “KRPC’s primary supply of sales is from the processing of crude oil for NNPC. The processing fees are determined completely by using NNPC, with out consideration for associated fees and are drastically lower than the expenses incurred to produce.
“The high fee is also due to the modern shape of the organization whereby the employer bears the entire price of personnel fees.”
It said the NNPC had undertaken not to lessen its shareholding in the organization and to hold to guide it by way of funding its operations ‘until such time the corporation is able to accurately finance its operations’.
NNPC’s today’s month-to-month record confirmed that Port Harcourt refinery stopped processing crude oil in April 2019, even as Warri and Kaduna refineries had been idle considering May and June 2019 respectively.
The organization stated the declining operational overall performance of the refineries ‘is resulting from ongoing revamping of the refineries, which is anticipated to similarly beautify capability usage once completed’.
The Federal Executive Council accredited on Wednesday the plan by using the Ministry of Petroleum Resources to rehabilitate the Port Harcourt Refinery with $1.5bn