The Dangote Petroleum Refinery has announced plans to export Premium Motor Spirit (PMS), commonly known as petrol, if the Nigerian National Petroleum Company Limited (NNPC) and other local petroleum dealers refuse to purchase its products.
The Vice President of Oil and Gas at Dangote Industries Limited, Devakumar Edwin made this known on Monday during an appearance on the Brekete Family live show. He confirmed that the refinery had begun petrol production, marking the final phase of its fuel production line, which already includes diesel, kerosene, and aviation fuel.
Edwin expressed frustration over the challenges Dangote Refinery faces in the local market, citing a blockade from traders and local oil companies who prefer importing diesel and aviation fuel rather than buying locally refined products.
“We have started producing PMS, but there has been a kind of blockade from lifting our products within the country. If the traders or NNPC are not buying the product, obviously, we will end up exporting it,” Edwin stated.
He noted that the refinery had also been struggling with crude supply, forcing it to import crude from the US, Brazil, and other countries due to insufficient local crude allocations, despite the Petroleum Industry Act mandating that local refinery needs be met before crude exports.
To mitigate these supply challenges, Dangote is constructing four new crude tanks, each with a 120 million-litre capacity, to store imported crude.
Edwin lamented that the initial goal of adding value to Nigeria’s raw materials by refining crude locally has been undermined by persistent supply and market obstacles.
