The Vice President of Oil and Gas at Dangote Industries Limited, Devakumar Edwin, recently provided reassurance that the Dangote Oil Refinery and Petrochemicals company will begin producing Premium Motor Spirit (PMS), also known as petrol, in July. This update came during a visit by S&P Global, a global financial analytics corporation, as part of their assessment of Nigeria’s sovereign credit ratings.
Edwin reiterated the company’s commitment to commence petrol production as promised. The goal is to leverage Africa’s abundant crude oil resources to produce refined products locally, thereby fostering industrial development, job creation, and economic prosperity.
Highlighting the quality of products from the $20 billion facility, Edwin stated that it can meet 100 percent of Nigeria’s demand for petrol, diesel, kerosene, and aviation fuel, with surpluses available for export. This refinery, with a capacity of 650,000 barrels per day, has the potential to address Nigeria’s forex challenges and reduce pressure on the local currency, according to S&P Global.
Ravi Bhatia, Director and Lead Analyst of Sovereign and International Public Finance Ratings at S&P Global Ratings, lauded the Dangote refinery’s potential to transform Nigeria into a net exporter of petroleum products. This transformation is expected to boost revenue generation and alleviate pressure on the country’s foreign exchange reserves.
During their visit, the S&P team praised Aliko Dangote, the President of Dangote Industries Limited, for incorporating advanced technologies and quality control measures in the refinery’s operations. The facility is equipped with a state-of-the-art Central Control Unit to ensure smooth automation.
Edwin mentioned that the refinery is currently operating at a capacity of 350,000 barrels per day but is expected to scale up to at least 500,000 barrels per day by July/August. It will commence the refining of petrol and ultra-low sulfur diesel. The refinery is designed to process various crudes, including African, Middle Eastern, and US Light Oil, while conforming to Euro V specifications and international emission standards.
Notably, the Dangote refinery stands out as a Nigerian company that designed and built the world’s largest single-train refinery complex, acting directly as its Engineering, Procurement, and Construction (EPC) contractor. It also features a self-sufficient marine facility capable of handling large vessels.
With its ability to produce high-quality products, energy efficiency, and environmental friendliness, the Dangote refinery represents a significant achievement for Nigeria’s oil and gas industry. The refinery’s construction and capabilities demonstrate the country’s potential to become self-sufficient in refined petroleum products and contribute to the global energy market.
