Hope rises for economy, fuel as Dangote refinery begins operations

By Nudoiba Ojen

The kick off of operation on Friday at the Dangote Refinery located in Nigeria’s commercial hub is expected to be the game changer for the country’s economy and as well fuel situation.

The commencement of production followed the delivery of six million barrels of crude supply to the refinery this week. It had earlier also received other batches.

The 650,000 barrel per day refinery is hoped to be a game changer for Nigeria’s economy when fully operational by helping end the country’s reliance on fuel imports.

The refinery, which is said to be able to meet Nigeria’s daily need of petrol, will end the incessant shortage of fuel supply to filling stations and as well expected to lead to reduction in fuel prices.

The initial run will be for the production of diesel and aviation fuel before moving on to petrol output.

Though one of Africa’s largest oil producers and the continent’s top economy, Nigeria relies almost totally on imported fuel and diesel because of a lack of refining capacity.

Fuel imports and subsidies caused a huge drain on foreign exchange when Nigeria was struggling with dwindling oil revenues and foreign currency shortages.

A statement by the company said, “Dangote Petroleum Refinery can meet 100 per cent of Nigeria’s requirement of all refined products, gasoline, diesel, kerosene, and aviation jet, and also have surplus of each of these products for export”.

The facility sits on 2,635 hectares (6,500 acres) of land at the Lekki Free Zone on the edge of Lagos city and cost an estimated $19bn, sources said.

Commencement of production at Dangote refinery the Nigeria-owed Port Harcourt refinery is also expected to start production, will be an added advantage to consumers

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