In the event that Nigerian oil marketers decline to purchase petroleum goods, Dangote Industries Limited has stated its plan to ship them to Europe and other international markets, according to a report published by Sahara Reporters. This announcement comes after President Bola Tinubu received concerns from marketers about how the Dangote Refinery’s lower pricing were negatively impacting their business operations.CONTINUE FULL READING>>>>>
Devakumar Edwin, Vice President of Dangote Industries Limited, noted that the refinery is having difficulty selling its products domestically, managing to sell only 29 tankers of diesel each day.
Consequently, the refinery is compelled to export the majority of its diesel and aviation fuel.
With a capacity of 650,000 barrels per day, the Dangote Refinery began exporting naphtha in March, low-sulphur straight-run fuel oil (LSSR) in May, and started domestic sales of diesel and jet fuel in April.
In June, it commenced the export of diesel that meets European standards.
Edwin spoke during a Twitter Spaces session hosted by Nairametrics, highlighting that without an increase in local demand, the Dangote Refinery will have no alternative but to export its products, including petrol, which was recently introduced to its production lineup.
This shift could significantly alter Nigeria’s fuel supply and pricing landscape.
Nigerian petroleum product marketers have expressed their grievances to President Bola Tinubu, stating that the local prices set by the refinery, which have decreased from N1,200 to N1,000 and now to N900 per litre, are harming their businesses.
Due to this lack of local support, the refinery is exporting the majority of its diesel and aviation fuel, Edwin explained.
Previously, in a radio broadcast, he mentioned that if the Nigerian National Petroleum Company Limited (NNPCL) declined to purchase its products, Dangote would export them to markets in need.
He remarked that Dangote Refinery has been exporting aviation fuel, producing kerosene and diesel and, just yesterday, September 12, 2024, began producing PMS.
Edwin provided that the only remaining product is petrochemicals.
When asked if petrol would be available for local sales, he responded, “Well, I explained how there has been a kind of a blockade from lifting our products within the country. The traders have been trying to block it, and so now we have been exporting our petroleum products. PMS, we are ready to pump in as much as possible to the country.”
Edwin further stated that if the traders or NNPC are not purchasing Dangote Refinery’s product, they will inevitably export the PMS alongside aviation fuel and diesel.CONTINUE FULL READING>>>>>
