In a major turning point for Nigeria’s downstream petroleum sector, Dangote Petroleum Refinery & Petrochemicals has announced plans to supply between 60 and 65 million litres of Premium Motor Spirit (PMS) daily to meet national demand, while exporting up to 20 million litres in surplus.
President of the Dangote Group, Aliko Dangote, disclosed this in Lagos, confirming that a structured offtake agreement has been concluded with selected marketers to ensure seamless nationwide distribution and eliminate fuel supply instability.
“We have agreed an offtake framework to supply up to 65 million litres daily for the domestic market,” Dangote said. “Any surplus, estimated at between 15 and 20 million litres, will be exported.”
Nigeria’s average daily petrol consumption currently stands at between 50 and 60 million litres, meaning the refinery’s output exceeds domestic demand. This development marks a decisive shift away from decades of dependence on imported refined petroleum products and recurring fuel scarcity.
Under a revised distribution framework endorsed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority, nationwide supply from the refinery will be routed through major marketing companies. These include MRS Oil Nigeria Plc, Nigerian National Petroleum Company Limited Retail, 11 Plc, TotalEnergies Marketing Nigeria Plc, Rainoil Limited, Northwest Petroleum & Gas Company Limited, Ardova Plc, Bovas & Company Limited, AA Rano Nigeria Limited, AYM Shafa Limited, Conoil Plc, and Masters Energy.
The structured distribution model is aimed at eliminating supply bottlenecks and curbing speculative practices that have historically triggered fuel shortages across the country.
Industry analysts describe the development as a significant structural reform in Nigeria’s fuel supply chain. For decades, Africa’s largest crude oil producer relied heavily on imported refined products, exposing the economy to foreign exchange volatility, logistics disruptions and periodic scarcity.
With local refining capacity now exceeding national demand, Nigeria is projected to conserve billions of dollars annually in foreign exchange previously spent on petrol imports. Analysts say this will ease pressure on the naira, strengthen external reserves and improve overall trade balance stability.
Meanwhile, the Group Chief Executive Officer of NNPC Limited, Bayo Bashir Ojulari, during a recent visit to the facility, described the refinery as a transformative national asset capable of redefining Nigeria’s energy security architecture and accelerating industrial growth.
Ojulari said the project represents a source of national pride and demonstrates Nigeria’s ability to leapfrog long-standing industrial constraints through the adoption of world-class technology.
Commending the refinery’s operational performance, he revealed that the plant had exceeded its design expectations.
“This plant was designed for 650,000 barrels per day. None of us thought it would even touch 550,000. What we saw live today was 661,000. These are live parameters, not reports or photographs,” he said.
The development positions Nigeria on the path to sustained fuel self-sufficiency while opening new export opportunities in the regional and global energy markets.
ELIJAH ADEYEMI
No comments:
Post a Comment