THE Federal Government has reversed itself again on plans to sell controlling interest in the Port Harcourt Refining Company, a subsidiary of the Nigerian National Petroleum Corporation (NNPC), with a January 19 deadline fixed for submission of expression of interest.
Indication that the government had reversed itself is contained in a statement released by the management of the Bureau of Public Enterprises (BPE), the agency charged with the privatisation of Federal Government assets.
The Bureau said it was in search of prospective core investors to purchase 51 per cent or more of the Federal Government shares in Port Harcourt Refining Company Limited (PHRC).
Deadline for fresh submission of expression of interest in the refinery is set for January 19. However, it was gathered that the Bureau informed bidders who had earlier been pre-qualified not to re-apply, while urging those still interested in participating to revise their bids and no explanation was advanced for this position.
When contacted Ms Tokunboh Durosaro, spokesperson of Oando Oil Group, one of the companies earlier pre-qualified to bid for the Port Harcourt refinery, explained that her company had not been officially communicated and so she could not speak yet.
Even when the government decided not to sell controlling stakes anymore, a few months ago, when contacted, the Oando spokesperson declined to comment pleading the same argument.
When contacted, Mr. Joe Anichebe, the spokesman of the Bureau, confirmed the development, pointing out that the refinery was listed on the Privatisation Act.
He explained that the privatisation of the Port Harcourt Refinery was delayed because three out of the four short-listed companies were using the same technical partner during the bidding exercise.
�While this was on, the NNPC made representation to government and the refinery was taken off the block. Later, the government directed both agencies: NNPC and the BPE to meet and sort things out. We did and resolved to sell.
�Those companies which had earlier been pre-qualified have been advised to update their documents,� he disclosed.
It would be recalled that while advancing reasons for taking the refinery off the list of assets to be privatised, Dr. Edmund Daukoru, the Minister of State for Petroleum Resources said that the decision not to sell was informed by the degree of competence exhibited by the NNPC.
He pointed out that the refinery was performing at optimum capacity and that government was compelled to have a rethink under the circumstance.
While speaking also, Dr. Funsho Kupolokun, the Group Managing Director of the NNPC reiterated what the Minister of State had said, adding however that the only problem the refinery had was that of where to store its products because �the agents were not able to lift products at the same pace as the refinery�.
The government�s decision drew flak from industry operators and watchers alike who were of the consensus that the development could only serve to undermine government attempts to attract foreign direct investment.