- According to the report, the foray of the Dangote refinery into the market has reduced the importation of petroleum products from Europe to Nigeria
The petroleum markets in Europe are reeling from the impact of Dangote Refinery’s commencement of petroleum products production, including Premium Motor Spirit, PMS.
The development is disclosed in a report released on Wednesday by Organisation of the Petroleum Exporting Countries, OPEC.
According to the report, the foray of the Dangote refinery into the business of crude oil refining has reduced the importation of petroleum products from Europe to Nigeria.
“The ongoing operational ramp-up efforts at Nigeria’s new Dangote refinery and its gasoline (petrol) exports to the international market will likely weigh further on the European gasoline market.
“Continued gasoline production in Nigeria, a country that has relied heavily on imports to meet its domestic fuel needs in the past, will most likely continue to free up gasoline volumes in international markets, which will call for new destinations and flow adjustments for the extra volumes going forward.”
In the fourth quarter of 2024, OPEC said, “Imports also declined, particularly oil product imports, improving the outlook for the external sector.”
The 650,000 barrels per day Dangote Refinery began the rollout of PMS on September 15, heralding a new dawn for Nigeria’s oil and gas sector.
The $20 billion Lekki, Lagos-based refinery has continued to increase production to meet both domestic and international demands for petrol.
Recall that in November, Dangote reduced its ex-depot price of petrol to N899.50 per litre. The company then partnered with MRS filling stations to sell petrol at N935 per litre.
Dangote’s price slash prompted the Nigerian National Petroleum Company, NNPC, to also reduce its PMS price to N965 per litre.
DAILY POST reports that Nigerians now buy petrol between N935 and N1,100 per litre nationwide.
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