Dangote, the Nigerian company, has announced plans to import crude oil from Libya.
According to Nigeria’s Legit newspaper, Aliko Dangote, chairman of Dangote Refinery and Africa’s richest man, explained that his refinery, with a capacity of 650,000 barrels per day, will start importing crude from other African countries in October due to unavailability in Nigeria.
Dangote mentioned during a tour of the refinery on Saturday that they will soon begin purchasing crude from the US and Brazil, with ongoing negotiations to secure supplies from other oil-producing nations like Angola, Senegal, and Libya.
Dangote stated, “We will start importing crude oil from African countries. When we get to those countries, we’ll start negotiating with them and begin imports from there. We’ve recently bought from the US and Brazil.
I believe we’ll expand our scope to include most African countries by next month. If we have availability in Nigeria, we won’t need to turn to these other countries.”The report highlighted that the $20 billion refinery is expected to release petrol into the Nigerian market in August, potentially lowering prices.
The refinery’s management has accused international oil companies (IOCs) and local oil producers of attempting to sabotage the refinery. Devakumar Edwin, vice president of Oil and Gas at Dangote Industries Limited, alleged that IOCs are frustrating the refinery’s efforts to purchase crude by inflating prices above market value, forcing them to import from other countries.
Despite these challenges, IOCs and local producers have agreed to supply crude to Nigerian refineries, ending a longstanding dispute.
Additionally, it was reported that the Nigerian National Petroleum Company Limited (NNPCL) has clarified Aliko Dangote’s statements about its stake in the refinery.
The NNPCL’s shareholding has been reduced to 7.2%, contrary to the previously believed 20%, due to funding issues.
