28 Years History: Dangote Refinery Commences Petrol Production and Distribution.

The Dangote Refinery in Nigeria has officially commenced the production of Premium Motor Spirit (PMS), commonly known as petrol. This development marks a significant milestone for the $20 billion facility, which is one of the largest refineries in Africa with a capacity of 650,000 barrels per day. After overcoming delays primarily due to crude supply shortages, the refinery is now processing gasoline, aiming to reduce Nigeria’s reliance on imported fuel despite being a major oil producer.

The refinery, which began operations in January 2024, had already been producing other products like diesel and aviation fuel. The Nigerian National Petroleum Company Limited (NNPCL) will be the sole distributor of the Dangote-produced petrol in the local market, though there is potential for export if local demand is not sufficient.

The introduction of petrol from Dangote Refinery is generally expected to alleviate the fuel shortages and high prices that have plagued Nigeria in recent months. Additionally, it is anticipated to support local industries, help stabilize the naira, and curb inflation by reducing the country’s import bill.