Dangote Refinery Finally Breaks Silence on Running at Full Capacity, Gives Implementation Timeline

• The president of Dangote oil refinery, in Nigeria, said that the refinery might begin operating at full capacity in 30 days
• In January of last year, the refinery began turned oil into jet fuel, naphtha, diesel, and other goods
• Aliko Dangote told a group of experts that the company was transferring two cargoes of jet fuel to Saudi Aramco

Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.

The president of Nigeria's Dangote Oil refinery, the biggest in Africa, stated Monday that it may start running at full capacity in 30 days.

Nigerian billionaire Aliko Dangote constructed a refinery in Lagos that can handle 650,000 barrels per day. It produced jet fuel, naphtha, diesel, and other products from crude in January of last year. In September, it began processing gasoline.

When running at full capacity, it hopes to compete with European refiners, but it has been having trouble obtaining enough crude locally.

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The Dangote oil refinery's head, Edwin Devakumar, stated that the facility was now running at 85% capacity and that "we can go 100 percent in 30 days."

Reuters reported that despite an arrangement with the Nigerian government to purchase petroleum in the local currency, the refinery was unable to secure adequate volumes last year and had to import crude.

According to the oil regulator, it has requested 550,000 barrels per day of crude from Nigerian oil producers for January through June of this year. It has also threatened to revoke export permits for oil cargoes from producers who do not fulfill their agreed-upon supply quota to local refineries.

For its refined goods, the Dangote Oil Refinery is looking into new markets. As part of its expansion aspirations, founder Aliko Dangote informed a group of Nigerian experts who visited last week that the company was shipping two cargoes of jet fuel to Saudi Aramco.

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"We are looking at all the markets right now," said Devakumar.

Dangote refinery announces another major feat

Dangote Refinery earlier announced that it has reached a peak production capacity of 33 million litres of petrol daily as it reached 550,000 barrels per day production.

The achievement proves that the facility has reached optimal production capacity. However, it is about 100,000 barrels per day short of reaching full capacity.

The company had said it hopes to achieve its installed production capacity of 650,000 bpd-capacity in June this year.

Dangote Refinery Rejects FCCPC's Request to Join Lawsuit

Legit.ng reported that in an attempt to prevent the Nigeria National Petroleum Company Limited and oil marketers from bringing refined petroleum products into the nation, Dangote Petroleum Refinery filed a lawsuit worth N100 billion.

In a recent development, the Federal Competition and Consumer Protection Commission has pleaded with the Federal High Court in Abuja to permit it to join the case.

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However, Dangote Refinery opposes the FCCPC's request to join the lawsuit, calling the commission an intrusive third party with no business in the matter involving the Petroleum Industry Act, a National Assembly Act.

Source: Legit.ng