Nigeria's Dangote oil refinery is preparing to export its first fuel shipments, marking a significant milestone for the newly operational facility, Western media reported, citing sources familiar with the matter.
The Dangote Petroleum Refinery and Petrochemical Project, located in the Dangote Industries Free Zone in Lagos, has the capacity to refine 650,000 barrels of crude oil per day, making it the largest oil refinery on the African continent.
According to media reports, the first shipment of 65,000 tonnes of low-sulphur straight-run fuel oil has been contracted to Trafigura, a Singapore-based multinational trading company, with loading scheduled for the end of February.
In addition, a separate tender for approximately 60,000 tonnes of naphtha has been disclosed by inside sources and is expected to close this Thursday, February 15. Detailed loading information for this tender is still pending.
Historically dependent on costly fuel imports, Nigeria is poised to become a net fuel exporter within West Africa following the $20 billion investment in the Dangote refinery. This shift in dynamics could potentially reshape the power and profit landscape within the industry.
The refinery began operations in 2023 after significant delays and cost overruns of nearly $20 billion, exceeding the original estimate of $12-14 billion.
Initial crude oil purchases for the Dangote refinery began in December last year, with Nigeria's state-owned NNPC Ltd. serving as the primary supplier.
Recent reports indicate that the refinery plans to release its first fuel supplies to the local market in the coming weeks.