The Dangote Petroleum Refinery, valued at $20 billion, has commenced the sale of Automotive Gas Oil (diesel) to oil marketers across Nigeria, according to reports from dealers and officials of the plant. The refinery initiated diesel sales last week and has plans to introduce aviation fuel (Jet A1) to the market soon.
Abubakar Maigandi, the National President of the Independent Petroleum Marketers Association of Nigeria, confirmed the commencement of diesel sales, expressing optimism that this move would lead to a reduction in diesel prices, which had surged to about N1,700 per litre recently.
A senior management official of the Dangote Refinery also confirmed the sale of diesel to marketers and hinted at the impending release of Premium Motor Spirit (petrol) into the market.
The journey to bring refined products to the market has not been without challenges for the Dangote Refinery. Despite being officially inaugurated by former President Muhammadu Buhari in May 2023, regulatory approvals have been a significant hurdle. Reports emerged on February 8, 2024, indicating that the refinery’s plan to release aviation fuel and diesel in January was delayed due to lingering regulatory approvals.
However, the refinery made progress in its production activities, announcing on January 12, 2024, that it had commenced the production of diesel and aviation fuel. Aliko Dangote, in a statement issued by the company, expressed gratitude to President Bola Tinubu and various regulatory bodies for their support in actualizing the project.
The Dangote Petroleum Refinery, with a nameplate capacity of 650,000 barrels per day, holds the promise of transforming Nigeria from a fuel importer to a net exporter, potentially reshaping the dynamics of the industry in West Africa.
