Dangote to begin production as crude supply hits 6 million barrels

Bisola David
Bisola David
Dangote refinery investors gain N1.2tn in two days

The Dangote Petroleum Refinery stated on Monday that it is ready to begin producing refined petroleum products after receiving the 6th batch of one million barrels of crude oil needed for the plant’s starting operations.

According to The PUNCH, “Dangote refinery appears set to commence production of refined petroleum products with the receipt of the sixth batch of barrels of crude supplied by the Nigeria National Petroleum Corporation Limited,” the company said in a press release issued on Monday.

It stated that the additional one million Agbami barrels of crude carried onboard MT ALMI SUN were the final cargo to complete the original six million barrels consignment to be delivered to the Dangote facility for the start of operations by the world’s largest single-train refinery.

Exactly one month ago, Dangote refinery received the first million barrels of Agbami crude grade from Shell International Trading and Shipping Company Limited, one of Nigeria’s and the world’s largest trading companies, trading around eight million barrels of crude oil each day.

Since then, Dangote refinery has received crude oil in phases, and the 6th batch of one million barrels of Agbami crude was discharged on Monday at the Dangote Offshore Oil Terminal’s Single Point Mooring.

The Managing Director of Dangote Ports Operations, Akin Omole, told reporters at the Dangote Quay in Ibeju-Lekki, Lagos, that the refinery would be ready to begin soon the six million barrels of crude were delivered.

He stated, “Once the six million barrels are fully delivered, it will facilitate the initial run of the refinery as well as kick-start the production of diesel, aviation fuel and Liquefied Petroleum Gas before subsequently progressing to the production of Premium Motor Spirit.”

This recent development would be critical in reducing Nigeria’s other West African countries’ gasoline supply difficulties.

The 650,000 barrels per day Dangote Petroleum Refinery, designed for 100% Nigerian petroleum with the option to process other crudes, can process most African crude grades as well as Middle Eastern Arab Light and US Light tight oil, as well as crude from other countries.

Dangote Petroleum Refinery can meet all of Nigeria’s requirement of all refined products, gasoline, diesel, kerosene, and aviation jet, and has a surplus of each of these products for export, according to the company.

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