A” Dangote Refinery executive announced the commencement of petroleum product supply to the Nigerian market, utilizing both sea and road transportation methods,” reports surfaced on Tuesday.
This landmark achievement represents a significant step forward in Nigeria’s pursuit of energy self-sufficiency, affirmed by industry executives and fuel marketing associations.
Located on a peninsula on the outskirts of Lagos, Africa’s largest city and Nigeria’s commercial hub, the Dangote Refinery stands as a symbol of visionary leadership under the guidance of 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 once it reaches full operational capacity, anticipated later this year.
Devakumar Edwin, a Dangote executive, confirmed the commencement of diesel and jet fuel shipments into the local market, highlighting the substantial quantities available for distribution. Vessels are being utilized for transportation, with ships queuing up to load diesel and aviation jet fuel. Efforts are being made to optimize efficiency by accommodating vessels carrying up to 37 million litres, Edwin added.
In a significant development, the Independent Petroleum Marketers Association of Nigeria has agreed to a price of 1,225 naira ($0.96) per litre of diesel through a bulk purchase arrangement with Dangote. Abubakar Maigandi, head of the association, revealed plans to distribute these products through its extensive network of approximately 150,000 retail stations across Nigeria.
Additionally, the Depots and Petroleum Products Marketers Association of Nigeria is in the process of securing letters of credit to procure petroleum products from Dangote. Femi Adewole, the association’s executive secretary, indicated that discussions with banks are at an advanced stage, with plans to commence product lifting upon receipt of letters of credit.
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