Business
Dangote claims their diesel is the best in Nigeria and satisfies international standards.
Aliko Dangote, the president of the Dangote Group, has declared that goods refined at the Dangote Petroleum Refinery & Petrochemicals satisfy international standards and are of higher quality than their imported counterparts
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Dangote stated his confidence following members of the House of Representatives’ insistence on testing alternative diesel products alongside Dangote’s diesel at its cutting-edge laboratory during a visit on Saturday, according to a statement released by the company’s media team on Sunday.
The Speaker of the House of Representatives, Rt Hon. Tajudeen Abbas, and other members who watched the testing of automotive gas oil (diesel) from two gas stations next to the Dangote Petroleum Refinery, praised the company for its significant investments and contributions to Nigeria’s development during a tour of both the refinery and the Dangote Fertiliser Limited complex.
The statement read, “The honorable members obtained the diesel samples from two reputable filling stations close to Eleko junction along the Lekki Epe Expressway.” The collection of samples from the Dangote refinery’s Mild Hydro Cracking (MHC) unit was overseen by Hon. Ikeagwunon Ugochinyere, Chairman of the House Committee on Downstream, and Hon. Okojie Odianosen, Chairman of the House Committee on Midstream, in order to test each sample.
“Through laboratory testing, it was determined that Dangote’s diesel contained 87.6 parts per million (ppm) of sulfur, whereas the other two samples had sulphur levels that were more than 1800 ppm and 2000 ppm, respectively.”
The CEO of the Nigerian Midstream and Downstream Petroleum Authority, Farouk Ahmed, recently declared that imported diesel is superior than domestically refined fuels. Dangote emphasized that these findings refuted Ahmed’s assertions.
Ahmed had claimed that the diesel generated by the Dangote refinery and other modular refineries, such as Waltersmith and Aradel, had a sulphur concentration ranging from 650 to 1200 ppm. Many Nigerians criticized this claim as an attempt to favor imported goods over domestic ones.
“Dangote publicly contested the regulator, arguing for an unbiased evaluation to ascertain what best serves the interests of Nigerians, by comparing the quality of refined products from his refinery with those imported.
“In Nigeria, we make the best diesel.” It is depressing that the regulator is weakening the market rather than protecting it. Transparency is very important to us, thus we welcome the regulator to test our products at any moment. To enable Nigerians to make comparisons, it would be advantageous for the regulator to present its laboratory to the world. Since we have limited potential for growth if Nigeria doesn’t flourish, Nigeria is of utmost importance to us.
Okay As distinguished members and honorable speaker, you have seen the credibility test findings. I value your astute advice in obtaining filling station samples in addition to our refinery’s output. While the others had sulfur contents above 1,800 ppm, ours has a sulphur content of 87.6 ppm, or roughly 88. Ours is far lower, even if the NMDPRA allows local refiners to produce diesel with a maximum sulphur concentration of 650 parts per million until January 2025, as allowed by ECOWAS. Our goal for next week is to reach 10 ppm, which is in line with the Euro V requirement. Although the maximum level of imported diesel is 50 parts per million, as you have observed, big marketers’ imports of station-supplied fuel significantly exceed this limit.
Dangote brought out the fact that diesel with a high sulfur content that is frequently smuggled into the nation frequently has questionable certificates.
He emphasized that buying the product straight from filling stations and doing credibility tests is the most efficient way to confirm the quality. He claims that Nigerians have suffered financial losses in addition to health hazards as a result of this problem.
“Dubious certifications often accompany the importation of high-sulphur diesel into Nigeria, causing both health risks and financial losses for Nigerians,” warned Dangote. Getting the product straight from the filling stations where end customers get it is the easiest way to confirm this. I think Farouk Ahmed speaks without fully understanding our sophistication. Without receiving any complaints, we have successfully exported diesel and jet fuel to Europe and Asia. In fact, we have earned repeat business, which shows that our customers are happy with our offerings.
Vice President of Gas and Oil at Dangote Industries Limited, Devakumar Edwin, cited recent measures taken by European nations such as Belgium and the Netherlands, in support of Dangote’s claim. “These nations have banned the export of high-sulfur diesel fuel to West Africa due to their concerns about the fuel’s carcinogenic effects when it is dumped into the Nigerian market.”
Edwin told the federal lawmakers that the Dangote Petroleum Refinery complies with Euro V standards and is built to process a variety of crudes, including many Middle Eastern and African crudes and US light tight oil. Furthermore, he claimed, it is made to meet requirements set by the African Refiners and Distribution Association (ARDA), the US EPA, European emission regulations, and the Department of Petroleum Resources (DPR).
Edwin stated that the $20 billion facility can supply all of Nigeria’s needs for aviation fuel, kerosene, diesel, and gasoline while also producing high-quality goods that satisfy international standards. Any excess can be exported.
Olakunle Alake, the group vice president, expressed disappointment over the monopoly claims made against the Dangote Group. He emphasized that a number of companies are involved in the sector, among them the Nigerian National Petroleum Corporation (NNPC), which runs four refineries.