Governor Dapo Abiodun says production by the Dangote Refinery will strengthen the nation’s economy by eliminating constant shortages and conserving foreign exchange.

The Ogun governor’s view was disclosed in a statement by his chief press secretary, Lekan Adeniran.

The governor said, “With the refinery coming on stream, one of the most significant challenges faced by Nigeria for more than three decades—reliance on fuel importation would be solved.

”Petrol produced from the 650,000 barrels per day Dangote refinery is expected to hit filling stations in the next 48 hours as modalities with the Nigerian National Petroleum Company Limited have been formalised.”

The governor noted that with the Warri and Port Harcourt refineries also being prepared to begin production, Nigerians would heave a sigh of relief from constant fuel shortages, while the economy would also receive a boost.

Mr Abiodun praised the refinery’s owner, Aliko Dangote, for his determination to see through the multibillion-dollar projects against all odds.

The governor also commended President Bola Tinubu for his intervention in ensuring that the refinery comes on stream during his administration. He praised the president’s commitment to the revitalisation of other refineries in the country, which, he said, would drastically reduce fuel prices when all of them started production.

Mr Abiodun said, “This significant achievement marks a transformative milestone not only for you as an entrepreneur but also for Nigeria and the broader African continent. The establishment of this refinery represents a pivotal shift in the energy landscape of the region, showcasing the power of vision, resilience, and unwavering commitment to economic development.

“The Dangote refinery is poised to be a game-changer in the production of petrol, addressing one of the most pressing challenges faced by Nigeria: reliance on imported fuel. This dependency has not only strained our foreign exchange reserves but has also hindered our potential for self-sufficiency. By producing petrol locally, the refinery will drastically reduce the outflow of foreign currency, thereby strengthening our economy. 

“This move aligns perfectly with the President Bola Tinubu-led administration’s efforts to achieve economic diversification and reduce reliance on oil exports alone. Moreover, the economic impact of the refinery extends beyond just fuel production. It is expected to generate thousands of jobs, both directly and indirectly, thus contributing to the reduction of unemployment rates.”

Mr Dangote revealed that petrol produced from his 650,000 barrels per day refining facility will hit filling stations in the next 48 hours as modalities with the Nigerian National Petroleum Company Limited had been formalised. 

Mr Dangote said this on Tuesday while addressing journalists announcing the formal production of petrol at the refinery.

“Our PMS (Premium Motor Spirit) can be in filling stations within the next 48 hours, depending on NNPCL,” he said.

Asked to speak on the pricing of the product from his refinery, Mr Dangote said, “It is an arrangement which is designed and approved by the Federal Executive Council led by President Tinubu. As soon as it is finalised, which he (Tinubu) is pushing, once we finish with NNPC, it can be today, it can be tomorrow, we are ready to roll into the market.”

In December 2023, Dangote Refinery began operations at its $20 billion facility in Lagos with 350,000 barrels a day. The refinery, which was initially troubled by regulatory battles, hopes to achieve its full capacity of 650,000 barrels per day by the end of the year.

The refinery has begun to supply diesel and aviation fuel to marketers in the country, and now, it supplies petrol.

Mr Dangote added that introducing naira for crude will reduce the demand for foreign exchange by 40 per cent.

“I want to thank President Tinubu for creating this idea of naira for crude and naira for the product. Doing that will give a lot of stability to the naira and remove 40 per cent of the demand for dollars. That’s not just it. There is a lot of round-tripping,” he stated.

He added that tracking loaded trucks would become possible, making it easier to compute the national consumption. 

(NAN)