Dangote Group Executive Director, Devakumar Edwin, on Monday, 18th September, disclosed that the Dangote refinery will start diesel and jet fuel refining operations by November 30, 2023, in an interview with S&P Global Commodity Insights.
According to him, the Dangote refinery will receive its first cargo of crude in the next two weeks and will begin producing up to 370,000 barrels per day of diesel and jet fuel from October 2023.
He explained that by November 30, the refinery will start the phased ramp-up to 650,000 barrels per day of petrol.
Right now, I’m ready to receive crude,” said Edwin, who previously ran Dangote Cement. “We are just waiting for the first vessel. And so as soon as it comes in, we can start.”Devakumar Edwin, Dangote Group Executive Director
While addressing delay in commencement of operations, Edwin stated that the Nigerian National Petroleum Corporation Limited, NNPCL, had committed their crude on a forward basis to someone else, so they didn’t have the crude immediately.
Edwin noted that it is a temporary issue, and the refinery should run exclusively on Nigerian crude by November 2023.
He also said that the Nigerian oil will be purchased in US dollars, and not naira because it is in a free zone on the outskirts of Lagos
Edwin added that NNPCL will supply some crude at reduced prices due to its equity stake.
He disclosed that the Dangote refinery can process most African crudes, apart from heavy Angolan grades as well as Middle Eastern Arab Light and even US light tight.
Edwin,noted further that Excess gasoline will be exported to other African markets as well as the US and South America, although the volumes will be relatively small.
However, jet fuel will be exported to Europe and diesel will be sold in sub-Saharan Africa.
We can take even some of the Russian grades… if the global system opens up to allow us to receive them. Basically, if you look at our production profile, 50% of my production will meet 100% of the requirements of the country.Devakumar Edwin, Dangote Group Executive Director
The Dangote Refinery is owned by Africa’s richest man Aliko Dangote and it was inaugurated on the 22nd of May 2023 in Lekki, Lagos State.
Story: Ihuoma Ukeje