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Dangote Refinery Begins Supply of Petroleum Products To Nigerian Market  

On Tuesday, Dangote Refinery announced that it has commenced supplying petroleum products to the local market, marking a significant milestone in Nigeria’s journey towards energy self-sufficiency. 

This development was confirmed by a company executive and fuel marketing associations, signifying a crucial step in the country’s quest for energy independence.

Situated on a peninsula on the outskirts of Lagos, Africa’s largest city and Nigeria’s commercial capital, the Dangote refinery stands as a testament to the vision of the company chairman, Aliko Dangote. 

With a refining capacity of up to 650,000 barrels per day (bpd), it is poised to become the largest refinery in Africa and Europe upon reaching full operational capacity, which is expected later this year.

A Dangote executive, Devakumar Edwin, confirmed the commencement of diesel and jet fuel shipments into the local market, according to Reuters . 

“We have substantial quantities. Products are being evacuated both by sea and road. Ships are lining up one after another to load diesel and aviation jet fuel,” Edwin said. 

He further noted that vessels typically load a minimum of 26 million litres, with efforts to maximize efficiency by accommodating vessels carrying up to 37 million litres.

Local oil marketers, represented by the Independent Petroleum Marketers Association of Nigeria, have agreed to a price of 1,225 naira ($0.96) per litre of diesel following a bulk purchase agreement with Dangote. 

Abubakar Maigandi, head of the association, disclosed that its members oversee approximately 150,000 retail stations across Nigeria.

Meanwhile, the Depots and Petroleum Products Marketers Association of Nigeria revealed that its members are in the process of securing letters of credit to procure petroleum products from Dangote.

 “Our members are discussing with banks, and these talks have reached advanced stages. When we have our letters of credit, we will begin lifting products,” remarked Femi Adewole, the association’s executive secretary.

Chioma Kalu with agency report 

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