Nigeria’s energy landscape is poised for a significant transformation as the Dangote refinery gears up to commence exports of Euro V diesel alongside gasoline sales, slated to kick off in June. Devakumar Edwin, Vice President for Oil and Gas at Dangote, shared this development during a recent gathering of industry experts in Lagos, as reported by Argus Media.
The eagerly awaited commencement follows a series of milestones achieved by the refinery, including the initiation of its crude distillation unit earlier this year and subsequent approvals for the operation of key units such as the mild hydrocracker and desulphurisation facilities. Now, with the green light to start its residual fluid catalytic cracker, Dangote is poised to ramp up petrol production, further bolstering the country’s refining capacity.
Already, the refinery has made strides in the market, venturing into exports with naphtha shipments in March and low-sulphur straight-run fuel oil (LSSR) exports in May, while simultaneously catering to domestic demand for diesel and jet fuel. Despite challenges such as regulatory waivers for diesel sales and logistical complexities, Dangote remains steadfast in its commitment to meeting both local and international market demands.
Moreover, recent partnerships have underscored Dangote’s strategic vision, with TotalEnergies emerging as a key player in its refined product off-take agreements and potentially as a supplier of crude. This collaboration not only enhances Dangote’s market reach but also augurs well for Nigeria’s broader energy ecosystem.
In parallel to these developments, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), under the stewardship of Chief Executive Gbenga Komolafe, is spearheading initiatives to bolster the country’s oil production capabilities. A pivotal step in this direction was the recent engagement between NUPRC and Schlumberger, a global leader in oilfield services, led by its President, Olivier Le Peuch.
The meeting, held at NUPRC’s headquarters in Abuja, signified a mutual commitment to fostering synergies that amplify Nigeria’s upstream potential. Komolafe, in his discussions with Schlumberger representatives, emphasized NUPRC’s proactive regulatory stance and its pivotal role in streamlining industry operations.
Key highlights of the deliberations included exploring avenues for collaboration in frontier basin development and the integration of cutting-edge technologies to optimize exploration and production processes. Le Peuch expressed confidence in NUPRC’s regulatory framework and underscored Schlumberger’s readiness to contribute to Nigeria’s energy aspirations through innovative solutions.
As both entities look ahead, the establishment of a dedicated team to delve deeper into collaborative opportunities signals a proactive approach towards realizing shared objectives. With a focus on leveraging expertise and technology, the envisioned partnership holds promise for driving sustainable growth and unlocking Nigeria’s vast energy potential.
