Nigeria’s Dangote oil refinery plans to shut its 204,000 barrels per day gasoline-making unit for a 30-day maintenance period starting June 1, according to industry monitor IIR.
The 650,000 bpd refinery, established by Nigerian billionaire Aliko Dangote, began crude oil processing in January 2024, producing gasoil, naphtha, and jet fuel. Gasoline production started in September, although the facility has yet to reach full capacity. As of early February, the refinery was operating at 85% capacity.
Following the maintenance, gasoline production could increase if the plant successfully ramps up operations, according to industry sources. The temporary shutdown may also lead to increased European gasoline exports to West Africa.
The refinery has been in discussions with Nigeria’s state-owned oil company NNPC to extend its crude supply contract, with NNPC having supplied 48 million barrels of oil to the Dangote facility so far. Before this agreement, the refinery faced challenges securing crude supplies, sourcing U.S. crude grades such as WTI Midland.
Since Dangote Refinery began producing gasoline in September, Nigeria’s gasoline imports have dropped significantly, falling to 112,000 bpd in February, compared to 372,000 bpd in February 2024, according to shipping trade analytics firm Kpler.
Source: Reuters
