There are now reasons to doubt the possibility of the Dangote Refinery being able to roll out Premium Motor Spirit (PMS) before the end of this month.
The President of Dangote Group, Alhaji Aliko Dangote, had projected in July that the refinery would begin production of PMS between last Saturday and Monday (today).
Although all is believed to be set for the commencement of production, reports quoting industry sources have expressed fears of the management of the facility going forward.
“All is set. The refinery will roll out petrol this month. However, its concern is that the refinery cannot stop for one minute; it needs the constant supply of crude to keep going,” a top official close to the refinery reportedly said on Sunday.
However, further findings show that the ongoing crude supply crisis might be a setback to the Dangote Oil Refinery, which ought to commence the supply of PMS into the market today (August 1, 2024).
It was gathered that the refinery has made efforts to roll out petrol this August, even as it awaits 29 million barrels of crude oil from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
Reliable sources privy to the development said that the refinery is ready to release petrol this month, regardless of the crude crisis. The sources disclosed that the company is 100 per cent ready to pump out petrol as planned. However, they said the low supply of crude may impact the process.
“I can confirm to you that we will start the sale of PMS this August, though the low supply of crude oil has always been affecting the process. But from the information at my disposal, we are 100 per cent ready for the supply of PMS,” a source said.
Another informed person said the refinery is still awaiting 29 million barrels of crude oil from the NUPRC.
“The NUPRC is yet to fulfill the supply of the 29 million barrels promised to Dangote. They are still waiting for that. Surprisingly, the 29 million barrels were allocated on paper, they didn’t get to the refinery, yet the NUPRC told the media on Friday that the crude was supplied.
“Dangote refinery needs 15 cargoes for September, only six cargoes have been supplied. Where do you want him to get the remaining nine cargoes? He will have to import again. Though the President said local refineries should buy in Naira; if it is at the international rate. What is the difference?” she asked.
“For Dangote to sell to Nigerians, it has to be at a competitive rate. Dangote will source crude at the international rate, how do you expect him to sell at a rate below the cost price? So, it will be better to sell outside the country than to sell in Nigeria at a loss.
“There is a lot of politics in oil and gas, and this is heavily killing Nigeria. Just like former President Olusegun Obasanjo said, those making money from fuel importation are frustrating Dangote,” the expert said.
Reports quoting some workers of the refinery maintained that all is set for the sale of petrol, but they do not know the exact date and the price.
“I learnt PMS will be out probably by next week, but I don’t know the exact date,” one of the workers disclosed, pleading anonymity.