Emerging report reaching on Wednesday, indicates that Dangote Petroleum Refinery is currently importing Crude Oil into Nigeria for refining, and expects its first Crude cargo to arrive the country in two weeks’ time.
This is according to the Executive Director, Dangote Group, Devakumar Edwin, who added that although the Nigerian National Petroleum Company Limited, NNPC, trades Crude Oil on behalf of Nigeria, it has committed its Crude to other entities.
Edwin spoke in an interview with S&P Global Commodity Insights, on Monday.
He however, did not disclose the other entities receiving the Oil company’s Crude, but recall, that the NNPC had disclosed last month, that it had entered into a $3 billion Crude Oil-for-loan deal with the African Export-Import Bank. The deal allowed the company to pledge future Oil production in Nigeria to the Bank, as repayments for the loan.
Also, some NNPC sources told The Punch, on Tuesday, that the company had entered into Crude Oil contracts with a number of entities, a development that made it impossible for the organisation to meet Dangote’s need earlier.
A top Official at Dangote Refinery, nonetheless, said that plans are already underway to ensure that Dangote Refinery’s Crude Oil needs are met in November 2023.
Also, Edwin pointed out that the importation of Crude Oil by Dangote Refinery is temporal, as it would receive supply from the NNPC from November 2023.
He went ahead to state that the firm would begin the production of up to 370,000 barrels per day of Crude that would give rise to Automotive Gas Oil, AGO, popularly called diesel, and jet fuel, in October 2023.
For Premium Motor Spirit, PMS, popularly called petrol, he said that the plant would produce it by November 30, 2023.
Edwin stated in the interview that the Dangote Refinery would initiate a gradual increase in petrol production, aiming to reach an impressive 650,000 barrels per day, by November 30.
He emphasised the Refinery’s readiness to receive Crude Oil, saying: “Right now, I am ready to receive Crude. We are just waiting for the first vessel. And so, as soon as it comes in, we can start.”
More news later…