$2.9bn Refinery Scandal: EFCC Finds N80bn in Account of Sacked MD as Port Harcourt, Warri, Kaduna Projects Collapse
The Economic and Financial Crimes Commission (EFCC) has arrested the recently dismissed managing directors and several top officials of the Port Harcourt Refining Company (PHRC), Warri Refining and Petrochemical Company (WRPC), and Kaduna Refining and Petrochemical Company (KRPC), over an alleged mismanagement of nearly $3 billion meant for the rehabilitation of Nigeria’s ailing refineries.
The arrest follows investigations into the disbursement of a total of $2,956,872,622.36, earmarked for the turnaround maintenance of the three state-run refineries. NEWS REVIEW gathered that the EFCC is probing the allocation of $1.56 billion to the Port Harcourt refinery, $740.7 million to the Kaduna refinery, and $657 million to the Warri refinery.
Among those arrested are Mr. Ibrahim Onoja, former Managing Director of the Port Harcourt Refining Company, and Mr. Efifia Chu, former Managing Director of the Warri Refining and Petrochemical Company.
A senior EFCC official confirmed on condition of anonymity to NEWS REVIEW on Friday that the arrests form part of a sweeping investigation into how the huge sums released for quick-fix maintenance were spent, amid growing public frustration over the continued dysfunction of Nigeria’s refineries.
“We are investigating funds released for refinery rehabilitation. Some of the key officials involved during the disbursement periods have been arrested, and more are being tracked. Nigerians deserve to know where the money went and why our refineries are still underperforming,” the source said.
The crackdown comes days after the new leadership of the Nigerian National Petroleum Company Limited (NNPCL) sacked the managing directors of the three refineries, along with other senior officials, including Bala Wunti, former chief of the National Petroleum Investment Management Services (NAPIMS). The NNPCL also ordered many staff with less than one year to retirement to step down.
Insider sources at NNPCL revealed that over N80 billion was discovered in the bank account of one of the sacked MDs, prompting what one official described as an unfolding scandal “bigger than Emefielegate.”
Kyari, Others Under Probe
A document dated April 28, 2025, obtained by NEWS REVIEW, showed that the EFCC probe extends to the immediate past Group Chief Executive Officer of NNPCL, Mele Kyari, alongside 13 other former top executives. The anti-graft agency requested certified records of emoluments and allowances from the NNPCL for the listed individuals.
Others named in the probe include Abubakar Yar’Adua, Isiaka Abdulrazak, Umar Ajiya, Dikko Ahmed, Ademoye Jelili, Mustapha Sugungun, Kayode Adetokunbo, Efiok Akpan, Babatunde Bakare, Jimoh Olasunkanmi, Bello Kankaya, and Desmond Inyama.
Efforts to reach EFCC spokesman Dele Oyewale and NNPCL spokesperson Olufemi Soneye were unsuccessful, as both have remained silent on the matter.
Refineries Failing Despite Huge Spending
The Warri and Port Harcourt refineries, widely publicized to have resumed operations in November and December 2024, have failed to deliver. The Warri refinery was shut down again barely a month after resuming due to safety issues with its Crude Distillation Unit (CDU) Main Heater, while the Port Harcourt refinery has operated below 40% capacity, despite the $1.5 billion spent on its revamp.
An April 2025 regulatory document from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) revealed that the Warri refinery, which gulped $897 million, failed to produce a single litre of petrol before shutting down.
In January, NEWS REVIEW reported that activity at the Warri refinery was minimal, contradicting NNPCL’s claim that operations had resumed. Marketers interviewed confirmed the absence of product lifting from the site, fueling suspicions of deception.
Experts, Stakeholders React
Energy analyst Kelvin Emmanuel described the refinery recommissioning as a “charade,” accusing the government of misleading Nigerians with televised ceremonies while the plants remained dormant.
“This $2.96 billion could have built a brand-new refinery. Instead, it was spent on outdated plants that lack essential processing units,” Emmanuel told Arise News. He noted that the PHRC and WRPC lack catalytic reforming units, making it impossible to refine Naphtha into petrol.
Similarly, Dan Kunle, another energy expert, slammed the rehabilitation efforts as a scam. He said the original Japanese builders of the refineries declined to return due to insecurity, forcing Nigeria to use alternate contractors with no visible results.
“The Kaduna refinery has no pipeline to supply it crude oil. Even if it’s fixed, how will crude get there?” he queried.
Workers Threaten Strike
Meanwhile, a fresh crisis looms as support staff at the Warri refinery plan to commence an indefinite strike on Monday, May 5, 2025, in protest over poor remuneration, casualisation, and unfulfilled promises. The planned action threatens the NNPCL’s timeline to restart the Crude and Vacuum Distillation Units (CDU and VDU) and the gas plant.
Workers’ representative, Dafe Ighomitedo, told our correspondent that similar protests had been ongoing since 2015, with no substantial improvements in working conditions.
Marketers Demand Action
Delta State Chairman of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Harry Okenini, lamented the non-availability of products at the Warri refinery months after its commissioning.
“There’s been no product to lift since January. We’re forced to rely on expensive private depots, which hike prices at will,” Okenini said, urging the federal government to empower the new NNPCL management to act decisively.
The Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) also demanded an investigation. National President Billy Gillis-Harry said his team had once seen the refinery operating but conceded the need to revisit and verify current claims.
Conclusion
As the EFCC expands its investigation and public confidence in the NNPCL continues to erode, energy analysts and stakeholders are calling for transparency, accountability, and a complete overhaul of Nigeria’s refining sector. With billions spent and no fuel to show for it, the pressure is now on the federal government to recover the funds and restore trust in public institutions.
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