Reps’ leadership visits Dangote Refinery to address rising concerns over the quality of its products. Discover the findings and implications.
Around 11 a.m., the team reached the refinery located in Lekki Free Trade Zone and was greeted by Aliko Dangote, President of the Dangote Group, and other high-level company officials.
The legislators were taken on a tour of the facility capable of processing 650,000 barrels per day and engaged in talks about initiating petrol distribution starting next month. This visit came after a prior inspection conducted by Senate President Godswill Akpaio-led Senate leadership in June.
Shortly after raising concerns about the high sulphur content in diesel produced by the refinery, Farouk Ahmed- Chief Executive of the Nigerian Midstream and Downstream Petroleum Authority (NMDPRA), pays a visit.
According to Ahmed’s report, the level of sulphur in diesel is roughly 1,000 parts per million – a considerable amount exceeding West Africa’s mandatory standard of 50 ppm.
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Furthermore, Ahmed affirmed that the Nigerian government will persist with acquiring petroleum products from overseas because depending exclusively on the Dangote refinery would not be feasible. She pointed out that while it has been dispensing diesel and aviation fuel in Nigeria for a few months now, the facility is still undergoing its pre-commissioning phase and lacks authorization to operate fully as only about 45% of work is accomplished so far.
Ahmed denied media reports suggesting that efforts were made to obstruct the functioning of the refinery. According to him, these claims are baseless since Dangote’s operations are still in pre-commissioning stage and have not yet been granted licensing. He further clarified that no licenses had been issued by them as regulators for their operation up till now.
The head of NMDPRA issued a warning about the potential risks of relying solely on Dangote’s refinery for national fuel supply. He pointed out that the refinery had requested to halt issuing import licenses to other marketers, and cautioned against accepting this request. “It would be unwise to depend entirely on one facility to sustain our energy needs,” he stated. “Dangote’s call for ceasing all imports including AGO and directing businesses towards their own operation may cause market monopolies which could harm both our country’s energy security as well as consumer choice.”
Ahmed commented on the refinery’s output, stating that their current AGO quality with regards to sulfur is subpar in comparison to West African standards of 50ppm. In contrast, other refineries such as Dangote and modular ones like Waltersmith and Aradel are producing a range between 650-1,200 ppm–making their products far inferior than imported ones when it comes to quality.
The continuous examination and talks revolving around the involvement of Dangote refinery in Nigeria’s petroleum industry is emphasized by the visit from the House of Representatives’ leadership.
