Revealed: Why Dangote Refinery is increasing fuel exports

• Dangote Refinery is reportedly acceptable to export astir 130 cardinal litres of aviation substance to Saudi Arabia successful March
• The improvement comes aft the refinery exported implicit 2 cardinal barrels of aviation substance to the US successful March
• Experts person hailed the move, saying the refinery is positioning itself arsenic a cardinal subordinate successful the planetary vigor market

Legit.ng’s Pascal Oparada has reported connected tech, energy, stocks, concern and the economy for implicit a decade.

Dangote Refinery is expanding its planetary marketplace share, with 3 cargoes amounting to astir 130 cardinal litres reportedly acceptable for export to Saudi Arabia.

The improvement follows the facility’s caller export to the US, wherever it sold implicit 2 cardinal barrels of JetA1, known arsenic aviation oregon pitchy fuel, showing its increasing dominance and acceptance successful the planetary energy market.

Chairman of the Dangote Group, Aliko Dangote's refinery exports substance to 2 countries. Credit: Bloomberg/Contributor
Source: UGC

Saudi Arabia to person aviation substance from Dangote

Ship-tracking information from Kepler shows that six vessels with astir 1.7 cardinal barrels of aviation substance from the Nigerian-based refinery arrived astatine US ports successful March.

Another vessel, the Hafnia Andromeda, is expected to berth astatine the Everglades terminal connected March 29, 2025, with astir 348,000 barrels of aviation fuel.

The 650,000 bpd-capacity refinery, Africa’s largest, has acceptable itself arsenic an indispensable subordinate successful the planetary substance market.

BusinessDay reports that experts person said that the refinery’s introduction into the US and Saudi Arabia markets shows the precocious prime of its petroleum products and the increasing assurance of planetary buyers successful Nigerian exports.

Dangote Refinery’s exports amusement merchandise superiority

Chief Executive Officer of the Centre for the Promotion of Private Enterprises (CPPE), Muda Yusuf, described the determination arsenic a important accomplishment for Nigeria.

He said Dangote Refinery’s quality to conscionable the strict prime standards of markets specified arsenic the US and Saudi Arabia shows its world-class operations.

Experts foretell Dangote Refinery volition clang substance prices

Dangote Refinery’s export to the US coincided with the turnaround attraction of the Phillips 66 Bayway refinery successful New Jersey.

Experts person predicted that the Dangote Refinery’s pitchy substance exports could power prices successful the US, particularly pursuing the impending summertime vacation travels.

Steven Barsmian, the CEO of TankTiger, a US-based stockbroking firm, said the emergence successful proviso from Nigeria is expected to clang pitchy substance prices successful the US, saying that March imports of JetA1 person deed astir 226,000 barrels daily, the highest since February 2023.

Apart from substance exports, the facility’s operations are changing Nigeria’s economical trajectory.

Dangote and modular refineries to import crude

Meanwhile, Legit.ng earlier reported that Dangote and different modular refineries successful Nigeria whitethorn walk astir $8.56 cardinal to import astir 122,400,000 barrels of crude lipid successful six months to run astatine afloat capacity.

The improvement means that the refineries whitethorn walk astir $1.43 cardinal monthly connected crude imports into Nigeria amid the illness of the naira-for-crude woody betwixt the refineries and the Nigerian government.

Dangote Refinery insists connected crude lipid imports

The mega Dangote Refinery whitethorn walk the magnitude implicit the uncertainty surrounding the Domestic Crude Supply Obligation of the Nigerian government.

Legit.ng earlier reported that the naira-for-crude lipid committee failed to conscionable connected Monday, March 24, 2025, with different stakeholders to sermon the aboriginal of the deal.

The 650,000 bpd-capacity refinery has repeatedly disclosed that it was importing crude and would proceed to bash truthful arsenic it hopes to ramp up production.

Edo Refinery begins talks to bargain crude

Experts person said that with the illness of the naira-for-crude deal, the refinery volition trust much connected imported crude to conscionable its accumulation needs.

Punch reports that Edo Refinery plans to import crude to conscionable its refining needs.

The 30,000 bpd-capacity refinery has sought to acquisition crude from a US-based crude seller.

Aliko Dangote's refinery increases its planetary beingness successful the vigor market Credit: Bloomberg/Contributor
Source: UGC

Findings amusement that portion different modular refineries were readying to acquisition crude, the Dangote and Edo refineries would request astir 680,000 barrels per time to run optimally.

Vessels carrying Nigerian lipid cargoes are stranded astatine sea

Legit.ng earlier reported that Nigeria’s lipid assemblage faces a beardown situation arsenic 12 March-loading crude cargoes stay stranded astatine oversea and unsold, showing the anemic request for the country’s exports.

According to traders, arsenic of March 10, 2025, buyers for the consignments were inactive being sought.

The dilatory income travel arsenic Nigerian crude faces beardown contention from Kazakh-origin airy sour CPC Blend, US Western Texas Intermediate (WTI) and the Mediterranean saccharine crudes successful Europe.

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Source: Legit.ng