Dangote Petroleum Refinery is preparing to begin selling petrol, following the successful launch of its diesel operations. According to Bloomberg, the plant has recently imported crude oil from the US to increase production.
The refinery is currently commissioning two units to produce gasoline (petrol), a move that is expected to significantly impact the fuel market in Nigeria, West Africa, and beyond.
“Dangote is set to influence the Atlantic Basin gasoline markets this summer and for the remainder of the year,” said Alan Gelder, Vice President of Refining, Chemicals, and Oil Markets at Wood Mackenzie, a consultancy firm.
“When the RFCC (residue fluid catalytic cracking unit) becomes operational, it will have a major impact on the West African gasoline supply balance,” Gelder added, referring to a unit that upgrades heavier products.
Wood Mackenzie anticipates the petrol-focused units to be operational this summer, while other analysts predict the RFCC will be commissioned by year-end.
Punch reports that Dangote Industries has indicated that petrol deliveries will commence in May 2024. Similar to the impact on diesel prices, Dangote’s entry into the petrol market is expected to alleviate current price pressures.
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