3 months ago
10
- A new report has disclosed that the Dangote Refinery currently exports petroleum products to 10 countries
- The report listed the US, Spain, France, South Korea, Angola, Togo, Guinea, Belgium, Israel, and Singapore as the top importers of Dangote products
- The report said the refinery is projected to change the global oil trade between West Africa and other regions
Legit. ng’s Pascal Oparada has reported on tech, energy, stocks, investment, and the economy for over a decade.
Amid the spat with Nigeria’s petroleum regulators, a new report has linked 10 countries as top destinations for petroleum products from the Dangote Refinery.
The US, Spain, France, South Korea, Angola, Togo, Guinea, Belgium, Israel, and Singapore have been named as the 10 importers of petroleum products from the 650,000 bpd-capacity refinery.
Source: UGC
Dangote Refinery gets more endorsements
The development comes as Nigerian students recently endorsed the refinery as transformative for Africa’s largest oil producer.
The refinery has shipped products at different times to other countries, including fuel oil, gasoline, jet fuel, and Naphtha, attracting the much sought-after foreign exchange for Nigeria,
Angus Group, United Kingdom, disclosed that the $20 billion refinery has changed the trajectory of petroleum products trade flows between West Africa and other regions while creating multiplier effects and job creation in the subregion.
Nigeria’s fuel imports to drop
The group noted that due to the commencement of the refinery, Nigeria’s petrol imports have been forecasted to drop by 60% to 160,000 barrels per day by 2025 from 400,000 barrels in 2023.
Vanguard reports that the report said that Nigeria would need to import 75,000 barrels in 2025 compared to 350,000 in 2023, stating that from 2026, the country will begin to import more following expected population growth and rising demands.
Nigeria to export diesel, jet-kerosine
According to the Angus Group report, Nigeria is also expected to export diesel and aviation fuel from 2025, boosting the forex flow into the country.
The report said after years of waiting, the Dangote refinery has been ramping up production since 2024, including loading regular refined product cargoes.
It said the scale of refining operation will change global product trade flows and require new price benchmarking solutions for the West African market.
It stated that Nigeria will move from an almost 400,000 barrel net import position in 2023 to a 160,000 net export position by 2025.
The development comes amid a dispute between Nigeria's refinery management and petroleum industry regulators.
The Nigerian Midstream and Downstream Regulatory Authority (NMDPRA) accused the refinery of producing inferior products laced with high sulphur, a claim the Dangote refinery has debunked.
The refinery disclosed that products from the facility were about 80% superior to imported ones, challenging the NMDPRA to samples for testing.
It also accused the Nigerian National Petroleum Company Limited (NNPCL) of supplying it with limited crude oil, leading to imports from countries like the US and Brazil.
Dangote Refinery confirms the date for the release of petrol
Legit.ng earlier reported that Dangote Industries Limited has reiterated that production of Premium Motor Spirit (PMS), commonly known as petrol, will commence at the Dangote refinery in July 2024.
Devakumar Edwin, vice president of Oil and Gas at Dangote Industries Limited, stated this during a visit by the S&P Global team to the Dangote Refinery in Ibeju-Lekki, Lagos.
Earlier, Legit.ng reported that Dangote refinery set July 10–15, 2024, as the dates for supplying petrol products to the Nigerian market.
Source: Legit.ng
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