Reps C’ttee Queries $50m Contract For Integrity Test Of Refineries

The House of Representatives’ Adhoc Committee probing the state of refineries has queried the $50 million contract awarded to Maire Tecnimont Nigeria limited by the Nigeria National Petroleum Company (NNPC) for integrity test of the country’s refineries.

Chairman of the House Adhoc committee, Hon. Ganiyu Johnson issued the query in Abuja following the appearance of the managing director of the company at a hearing yesterday.

The Adhoc committee on June 4, 2022 summoned the Managing Director of Tecnimont Nigeria Limited, a major contractor of the Nigerian National Petroleum Corporation NNPC, over the state of the nation’s refineries.

The Ganiyu Johnson led Adhoc committee also directed that Maire Tecnimont Nigeria Limited provide proof of payment of the huge sum paid by the NNPC for the rehabilitation of the nation’s refineries.

According to the chairman, the reason given by the NNPC on why the nation’s refineries are not working is not satisfactory to the committee.

He said,:”The House probe panel is determined to ascertain the actual cost of rehabilitation of the nation’s four refineries”.

Responding to the panel questions, Vice President Sub-Saharan Africa region and managing director (Nigeria) Tecnimont, Davide Pelizzola disclosed that the contract was awarded in 2019 at $49 million by the Nigeria National Petroleum Corporation (NNPC) to Technimont.

Pelizzola admitted that the approved $50 million is for the first phase of the refurbishment of Refineries across the country.

However, further inquiries by the committee revealed that the Port Harcourt refinery currently under construction is being handled by a Japanese firm and not Maire Tecnimont as claimed.

The Executive Director Refining of the NNPC, Philip Chukwu, said that the first advance payment was 10 percent of the amount, adding that the second will be five percent.

He said that the Group Managing Director GMD of the NNPC, Mele Kyari has asked to be excused by the committee as he was having a top management meeting with staff.