LAGOS, Jan 13 — Africa’s biggest diesel and aviation fuel refinery constructed by the continent’s richest man has began production, the corporate mentioned at the moment, calling it a “massive day for Nigeria”.
The 650,000 barrel-per-day Dangote refinery may very well be a sport changer when totally operational by serving to finish Nigeria’s reliance on fuel imports.
The delayed megaproject constructed by Nigerian billionaire Aliko Dangote mentioned it hoped the merchandise can be in the marketplace this month, but it surely was not clear when the refinery will attain full capability production or begin refining petrol.
The facility sits on 2,635 hectares (6,500 acres) of land on the Lekki Free Zone on the sting of Lagos metropolis and price an estimated US$19 billion (RM88 billion), based on native media.
“Dangote Petroleum Refinery has commenced production of diesel and aviation fuel,” the group mentioned. “This is a giant day for Nigeria. We are delighted to have reached this vital milestone.”
Though considered one of Africa largest oil producers and the continent’s prime financial system, Nigeria depends nearly completely on imported fuel and diesel due to an absence of refining capability.
Nigeria swaps crude value billions of {dollars} for petrol that it had subsidised for years to maintain costs low cost for its home market.
Fuel imports and subsidies induced an enormous drain on overseas alternate when Nigeria was fighting dwindling oil revenues and overseas forex shortages.
Storage tanks are seen on the newly-commissioned Dangote petroleum refinery in Ibeju-Lekki, Lagos May 22, 2023. — eNM pic
The refinery, first scheduled to open in 2021, was formally inaugurated by then president Muhammadu Buhari earlier this yr and was supposed to start operations in June.
Since coming to workplace in May final yr, President Bola Ahmed Tinubu has ended the long-standing fuel subsidy and floated the naira forex in financial reforms he says will appeal to overseas funding and construct long run progress. — eNM
