Marketers Predict Fuel Price Drop as Warri Refinery Resumes Production

Petroleum prices are expected to drop even further with the Warri Refinery kicking off operations. This development comes after the Nigerian National Petroleum Company Limited (NNPCL) announced that the 125,000 barrels per day refinery in Delta State had commenced operations.

The resumption of operations at the Warri Refining and Petrochemicals Company Limited is predicted to lead to a further reduction in the prices of refined petroleum products. Dealers in the downstream oil sector believe that the increased competition will force domestic refiners to reduce prices to attract buyers.

According to Mele Kyari, the NNPCL Group Chief Executive Officer, the refinery will focus on producing straight-run kerosene, diesel, and naphtha. President Bola Tinubu noted that the facility is operating at 60% capacity, representing 75,000 barrels per day.

The restart of the Warri refinery is expected to help Nigeria become a net exporter of petroleum products, with some products being sent to the international market. This development is seen as a significant step towards achieving energy efficiency and security in the country.

https://economicconfidential.com/2024/12/marketers-predict-fuel/