Dangote denies commissioning of refinery on January 24, 2023

Dangote denies commissioning of refinery on January 24, 2023

The billionaire business man, Mr. Aliko Dangote has denied commissioning of his refinery come 24th of January, as he purported the news to be fake.

In a press statement made available to BUSINESSINSIDERNG, the company, said the report stating that the refinery would be commissioned on the said date is fake.

 

It could be recall that there were unverified reports that President Muhammadu Buhari is expected to commission the 650,000 barrels per day (bpd) Dangote refinery on January 24.

 

The integrated refinery and petrochemical complex in the Lekki Free Zone near Lagos, Nigeria, when commissioned, will produce Euro-V quality gasoline and diesel, as well as jet fuel and polypropylene and will likely generate 4,000 direct and 145,000 indirect jobs.

 

It is expected to double Nigeria’s refining capacity and help in meeting the increasing demand for refined petroleum products while providing cost and foreign exchange savings. It is estimated to have an annual refining capacity of 10.4 million tonnes of petrol.

 

According to the World Bank, the refinery is expected to boost Nigeria’s external earnings by drastically reducing imports of fuel, contributing to the regional supply of petroleum products.

 

The bulk of the crude for the refinery operations is expected to come from Nigeria, given that the Nigerian National Petroleum Company Limited (NNPC) holds a 20 percent stake in the company on behalf of the federation, but the declining crude output would present a challenge.

 

The NNPC says it would supply half of the crude required by the plant, and if this is sold at market price, it would be impractical to continue paying subsidies.