Test runs for Premium Motor Spirit (petrol) production are currently underway at the 650,000-barrel-per-day Dangote Refinery, with full operations projected to begin by mid-September, according to a report from industry monitor IIR Energy, as cited by Reuters.
This $20 billion refinery, developed by Aliko Dangote, has so far only produced diesel and other distillates, with initial plans to start petrol deliveries in July following a previous target of May. However, IIR Energy has indicated that further delays may still occur.
Once fully operational, the refinery is expected to transform the Europe-to-Africa fuel trade and significantly reduce Nigeria’s reliance on imported refined products. Earlier this month, a Federal Government committee, responsible for implementing crude oil sales to local refineries in naira, confirmed an agreement with Dangote Petroleum Refinery to begin petrol rollout in September.
The Federal Government also announced that crude oil sales to Dangote Refinery and other local refineries will commence on October 1, 2024. This was disclosed by the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, during a meeting with the Implementation Committee in Abuja. During the meeting, Dr. Zacch Adedeji, Executive Chairman of the Federal Inland Revenue Service and Chairman of the Technical Sub-Committee, stated that the first petrol delivery from Dangote is expected next month under existing agreements.
