Oil marketers, represented by the Independent Petroleum Marketers Association of Nigeria (IPMAN), are preparing to engage with the management of the Dangote Petroleum Refinery to facilitate the seamless supply and distribution of refined petroleum products from the newly constructed $20 billion facility.
The planned meeting comes as the Dangote Petroleum Refinery gears up to commence production of Automotive Gas Oil (diesel) and JetA1 (aviation fuel) in January 2024. The production of Premium Motor Spirit (petrol) is reportedly delayed due to the supply of crude oil in installments.
Situated in the Dangote Industries Free Zone in Ibeju-Lekki, Lagos, the Dangote Petroleum Refinery is a major project under Dangote Industries Limited, boasting a crude oil refining capacity of 650,000 barrels per day.
As of now, the refinery has received six shipments of one million barrels each of crude oil, and it is preparing to initiate the production of refined petroleum products. The facility requires a minimum of six million barrels to commence production.
The Deputy National President of IPMAN, Zarma Mustapha, confirmed that the association intends to engage with the Dangote refinery soon. While acknowledging positive expectations regarding the guaranteed availability of refined products, Mustapha expressed uncertainty about significant changes in fuel prices unless the Federal Government supplies crude to the refineries at a lower price.
Mustapha added that independent oil marketers are prepared to collaborate with the Dangote and Port Harcourt refineries to ensure a smooth flow of products across Nigeria. The meeting with Dangote refinery officials is anticipated to address coordination and logistics for the distribution of the newly produced petroleum products.
The Dangote Petroleum Refinery and Petrochemical Project, covering approximately 2,635 hectares, is poised to make a substantial contribution to Nigeria’s energy landscape once fully operational.
