Dangote Refinery has significantly enhanced Nigeria’s domestic fuel supply by delivering approximately 79.4 million litres of petrol by sea.
The vessel Sabaek recently transported around 500,000 barrels (79.4 million litres) of petrol from the refinery to Lagos, as reported by port data and ship-tracking information from Bloomberg.
This initial seaborne shipment comes after about a month of the refinery distributing petrol via trucks, marking a crucial step in expanding fuel availability in the local market.
The Vice President of (Oil & Gas) at Dangote Industries Limited, Devakumar Edwin previously stated that the refinery plans to transport 75% of its local petroleum product supply via sea routes, targeting key locations such as Warri, Port Harcourt, and Calabar.
He noted that products destined for Calabar, Port Harcourt, Warri, Apapa, and Atlas will primarily be transported by sea, with road transport reserved for urgent needs.
This approach aims to alleviate pressure on road infrastructure and reduce transshipment costs.
“We have both exporting facilities by sea and by road. 75% of the production can be evacuated through sea. In fact, now we are ramping up to make it even 100%.
“Anything going to Calabar, Port Harcourt, Warri, Apapa, Atlas can all be taken through the sea. So only what is imminently required by road can be taken.
“But I also have the facility to load 83% of my production also through road. We have just built-in flexibility but we can avoid all traffic congestion on the road by evacuating through sea and it will also bring down the cost of transshipment,” Edwin stated.
Meanwhile, the refinery’s residue fluid catalytic cracker, a key unit for fuel production, is still ramping up operations, according to a source familiar with the situation who requested anonymity due to the confidential nature of the information.
To address the influx of tankers from the refinery and other entities within the Lagos Free Trade Zone, the Lagos State Government has implemented measures to mitigate potential traffic issues.
By transporting petroleum products via sea, the refinery aims to reduce road congestion, lower costs, and increase production capacity to meet domestic market demand more effectively.
