Dangote refinery commences fuel production test-run

The 650,000-barrel-per-day Dangote refinery is undergoing test runs for petrol production, with full operation expected by mid-September.

This is according to a report by Reuters which quoted a note by industry monitor IIR Energy.

It was earlier stated that, the refinery which has so far only produced diesel and other distillate fuels, would begin petrol deliveries from the refinery would start in July. Prior to that, the refinery had aimed to start making the motor fuel by May.

“It is possible that there could be further extensions,” IIR said in a note to clients.

The Dangote refinery, once fully operational, is set to upend the Europe-to-Africa fuel trade and reduce Nigeria’s reliance on imported refined products.

In early August, the Federal Government’s committee which was set up to ensure the implementation of crude oil sales to local refineries in naira, had reached an agreement with the Dangote Petroleum Refinery for the rollout of petrol in September this year.

According to the report the Federal Government also revealed that the sale of crude oil to Dangote Refinery and other local refineries will commence on October 1, 2024.

The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, announced this during a meeting with the Implementation Committee in Abuja.

Also at the meeting, the Executive Chairman of the Federal Inland Revenue Service, Dr Zacch Adedeji, and the Chairman of the Technical Sub-Committee reported that the first PMS delivery from Dangote is expected in September under existing agreements.