by Niyi Jacobs
Dangote Refinery is set to commence the sale of petrol to local marketers by August, according to a report by Nairametrics. The refinery, which began production in March, is ramping up its output to meet the demand of the local market.
The report reveals that the refinery will start producing Premium Motor Spirit (PMS), also known as petrol, this month, with sales to local distributors commencing in August. The refinery has a reserve capacity of 600 million liters of petrol, making it one of the largest in the world.
Initially, the $19 billion refinery will operate at 500,000 barrels per day (bpd), equating to about 15 cargoes monthly. It aims to reach its full capacity of 650,000 bpd by the first quarter of 2025.
The refinery’s production of petrol is expected to significantly reduce Nigeria’s dependence on imported petroleum products. Analysts believe that the refinery’s output will bolster domestic production capacity, achieving greater energy security and reducing reliance on costly imports.
When the refinery reaches full operational capacity, it will supply petroleum products to numerous African countries, as well as Brazil and the Caribbean. With its immense capacity, the refinery will challenge the European fuel import market in Africa.
The CEO of the oil firm, Aliko Dangote, had earlier stated that the production date for fuel was moved from June to mid-July due to a slight delay in production. However, the refinery is now set to commence sales to local marketers by August.