Nigeria: Dangote Refinery To Source Crude Oil From Oil-Producing Nations In Africa

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Africa’s largest crude oil refinery, Dangote Refinery, has announced plans to source crude from oil-producing African nations to feed the refinery.

The Nigeria -based Dangote refinery recently secured six million barrels of oil from the US, which is expected to reach the $19 billion facility by August.

In addition, the mega refinery will also receive about five million barrels of crude oil from the US by September, data from Bloomberg shows.

Dangote is also sourcing crude from the South American country, Brazil, in the coming months to ramp up production as it sets to commence the supply of petrol to the market this month.

Speaking to newsmen during the weekend, Chief Executive Officer and founder of the refinery, Aliko Dangote, mentioned that the refinery is expecting feedstock acquired from the US and Brazil in the coming months.

According to him, conversations are ongoing to secure more crude from African countries like Angola, Senegal and Libya, all of which are oil-producing nations.

“We will start importing crude oil from African countries. When we get to those countries, we’ll start negotiating with them. We’ll start bringing in from there.

“We have just bought from the US and Brazil. So I think by next month, we’ll expand the scope to most Asian countries.

“If we have availability in Nigeria, we won’t have to turn to these other countries,” Dangote said.

When asked about the timeline for sourcing crude from these African countries, Dangote stated that it could begin as soon as next month.

“Very soon. I think by next month. You know, crude…you have to book two months in advance. So, I’ll say October, we’ll be bringing in from these African countries,” Dangote responded.

The leadership of Dangote has vehemently lamented the unavailability of crude in Nigeria, forcing the oil facility to seek alternatives from other countries.

 

Source: https://energynewsafrica.com