Africa’s biggest oil refinery looks for crude from Libya
Date
7/23/2024 8:09:26 AM
(MENAFN) Nigeria’s Dangote Refinery, the largest oil refinery in Africa, is negotiating with Libya to secure crude oil for its operations, according to a report by Reuters. The refinery, which has a capacity of 650,000 barrels per day (bpd), is facing challenges due to insufficient domestic crude supplies, largely due to theft, pipeline vandalism, and underinvestment in Nigeria's oil sector.
The refinery, located near Lagos and established by Africa's wealthiest individual, Aliko Dangote, was designed to boost Nigeria’s oil refining capabilities and reduce the country's dependence on imported fuels. Despite starting operations earlier this year, the facility has had to rely on crude imports from Brazil and the United States. Aliko Dangote revealed during a recent tour that since the refinery began operations in January, it has only received five crude cargoes from the state oil company NNPC, far fewer than the 15 initially anticipated.
Currently, the refinery produces diesel and aviation fuel and aims to achieve at least 60 percent of its installed capacity by September, with a goal of reaching 550,000 barrels per day by year-end. Devakumar Edwin, the vice president of oil and gas at Dangote Industries Group, confirmed that the refinery is in talks with Libya, Angola, and other African nations for crude supplies. He did not disclose specifics about these negotiations but noted that international traders and oil companies are major buyers of the refinery’s gasoil, much of which is exported.
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