Dangote Refinery Unveils First Petrol Sample Amid Crude Supply Dispute With NUPRC

By: Abdulwasiu Akintunde

The President of Dangote Group, Aliko Dangote, has unveiled the first sample of Premium Motor Spirit (petrol) produced by his refinery.

The presentation took place on Tuesday at the refinery situated in Ibeju-Lekki, Lagos State.

The refinery, which boasts a capacity of 650,000 barrels per day, has recently been conducting a test run of its products. This milestone marks a significant step toward the refinery's full operation.

OPEN TELEVISION Naija (OTN) News reports that Dangote expressed his gratitude to the Nigerian people and President Bola Tinubu’s administration for fostering an environment conducive to growth and prosperity during a television broadcast monitored on Channels TV.

He also praised the Government's initiative of exchanging crude oil for Naira, a move he believes will help stabilize the national currency.

Dangote emphasized that once the refinery is fully operational, it will provide accurate data on Nigeria's fuel consumption. This will enable more effective tracking of both domestic and international fuel distribution.

The refinery is not only expected to meet Nigeria’s fuel demands but also to supply other countries in sub-Saharan Africa, addressing a critical need in the region.

However, Dangote raised concerns about the challenges local refineries face in securing crude oil. He accused international oil companies (IOCs) of being reluctant to sell crude to local refiners, often favoring foreign agents and Asian markets instead.

The Federal Government recently announced that a crude oil supply deal would begin in October, but tensions remain. The Dangote Group has had ongoing disputes with the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) regarding the supply of crude oil.

Last month, OTN News reported a disagreement between the Dangote refinery and the NUPRC over the alleged supply of 29 million barrels of crude oil.

The Dangote Group claimed that despite the NUPRC's assurances, the refinery had not received the promised crude.

In response, the NUPRC stated that it had facilitated the allocation of the crude oil, but the Dangote Group countered, saying they had yet to receive the shipments.

According to Anthony Chiejina, the Dangote Group’s spokesperson, while the refinery appreciates the allocation, most of the crude processed so far was purchased from international traders rather than domestic sources.