Nigerian Oil Refinery Sector

Dangote, local refineries poised to eliminate fuel imports

Local refineries in Nigeria, including the Dangote Petroleum Refinery, have pledged to end the importation of refined petroleum products within 18 months, provided the Federal Government collaborates closely with their initiatives.

Speaking on behalf of the Crude Oil Refiners Association of Nigeria (CORAN), Publicity Secretary Eche Idoko expressed confidence that the existing and upcoming refineries, alongside Dangote’s 650,000-capacity facility, can meet the nation’s fuel demands entirely.

Idoko highlighted the potential for significant economic benefits, including combating inflation by stabilizing fuel prices through local refining. He emphasized the need for streamlined processes and increased security measures to prevent crude theft, which currently affects production levels.

Idoko further advocated for selling crude oil in local currency to reduce production costs and alleviate pressure on the national currency. He asserted that ending fuel imports would bolster the naira against foreign currencies, underscoring the importance of direct crude sales to local refineries for sustained energy security.

Despite challenges and regulatory concerns voiced by some officials, stakeholders continue to urge governmental support for local refineries as a pivotal step towards achieving fuel self-sufficiency and economic stability.