We Have Enough Fuel To Meet Nigerians’ Need And Serve Africa — Dangote refinery

The President of Dangote Group, Alhaji Aliko Dangote, has disclosed that the Dangote Petroleum Refinery currently has over 500 million litres of petrol stored in its reservoir.

Speaking during a tour of the $20 billion Lekki-based facility with Zambia’s Minister for Energy, Makozo Chikote, on Saturday, Dangote revealed that the refinery now produces enough fuel to meet both local consumption and export demands.

Chikote’s visit aimed at exploring collaboration with the refinery to help address Zambia’s energy security challenges.

Refinery Nearing Full Capacity

During the tour, Dangote stated that the refinery currently holds N600 billion worth of stocks in its tank farm. He assured that the plant would reach its full production capacity of 650,000 barrels per day by next month, emphasizing that Nigeria does not consume up to 50% of its refined products.

“We can satisfy more than the local needs of Nigeria. As we speak, we have more than half a billion litres (of petrol). We have more than N600bn worth of stocks here today in the refinery. We have more than enough. The refinery is producing enough refined products, like gasoline, diesel, and kerosene, to meet 100 per cent of Nigeria’s requirements,” he stated.

He further noted that arrangements were in place to ensure a steady supply of crude oil to support the refinery’s production ramp-up.

Unmatched Fuel Quality

Addressing fuel quality concerns, Dangote asserted that no refinery in Africa or Europe could match the quality of products from his facility. He highlighted that refineries worldwide are shutting down due to the superior standards maintained at the Dangote Refinery.

“In terms of quality, there is actually no refinery in Africa, even in Europe, that can produce our type of quality. We want to be flexible, you know the laws keep changing,” he stated.

He explained that the sulphur content of his fuel could be reduced to zero parts per million, with an octane number reaching 95, making it one of the highest quality fuels available.

Strategic Export Plans

Dangote revealed that only 40% of the refinery’s total production is designated for Nigeria’s local consumption, while 60% is targeted for export. He emphasized that the goal is to make the refinery an African enterprise rather than merely a processing hub for raw materials to be shipped overseas.

“The maximum local consumption is around 40 per cent, but 60 per cent will be exported. We are making a lot of arrangements with some banks to make sure most of the products are sold within Africa; so that it can be a real African refinery, not done just for us to come and process raw materials and ship the products outside Africa. The problem has always been letters of credit; we are working with Afreximbank to resolve that financing issue,“ he said.

He also outlined the refinery’s competitive advantages in producing premium motor spirit (PMS), diesel, and aviation fuel, noting that Africa’s aviation fuel consumption remains low due to limited air traffic.

Daily Production Capacity

Vice President of Dangote Group, Davakumar Edwin, highlighted the refinery’s strategic advantage due to its proximity to the sea. He confirmed that the facility is capable of meeting all local fuel demands.

Presenting the refinery’s production statistics, Edwin stated that the plant produces 104 million litres of various petroleum products daily:

• 57 million litres of petrol
• 20 million litres of jet fuel
• 37 million litres of diesel

With Nigeria’s daily fuel consumption at 46 million litres, the surplus 58 million litres will be exported.

Additionally, the refinery has an extensive storage capacity:

• 12 tanks for 600 million litres of petrol (18 days’ supply)
• 17 tanks for 408 million litres of aviation fuel (136 days’ supply)
• 14 tanks for 340 million litres of diesel (34 days’ supply)
• 20 tanks for 2.4 billion litres of crude oil (20 days’ supply)

In total, the refinery operates 177 tanks with a combined storage capacity of 4.742 billion litres.

Zambia Seeks Energy Partnership

Zambia’s Energy Minister, Makozo Chikote, expressed interest in partnering with Dangote to secure stable and affordable fuel supplies for his country.

“The first thing I want to say is that, as the Zambian government, we are mandated to safeguard the supply of our fuels, the security has to be given to the nation. At the same time, due to reforms, the government disengaged itself from participating in the procurement of this product, and we created an environment for private players to participate,” Chikote said.

He emphasized that Zambia relies heavily on Tanzania’s Dar es Salaam facility for fuel, a dependency shared with neighboring countries such as Burundi, Malawi, and the Democratic Republic of Congo. This has led to congestion and supply chain challenges.

Chikote also revealed that Zambia’s energy sector has been severely affected by drought, which has disrupted the country’s hydropower-dependent electricity supply and hindered economic growth.

Promoting African Trade

The Zambian minister underscored the need for African nations to collaborate in addressing their energy challenges rather than depending on external solutions.

“From what we have seen, we need to promote trade within Africa to promote each other. We need countries to come together to make Africa efficient and a reliable trade hub,” he stated.

Chikote lauded Dangote’s efforts in spearheading large-scale industrial projects that could transform Africa’s energy landscape.

Responding, Dangote reiterated that his refinery was built not just for Nigeria but for the entire African continent, aimed at reducing dependency on foreign refineries.