Dangote Refinery to Build 5.3bn Litres Fuel Storage Capacity

The President of the Dangote Group, Alhaji Aliko Dangote, has announced plans to expand the storage capacity of his refinery by 600 million litres, bringing the total capacity to 5.3 billion litres.

He made this announcement at the Afreximbank Annual Meetings and AfriCaribbean Trade & Investment Forum in Nassau, The Bahamas. 

Dangote also mentioned that international oil companies had initially refused to sell crude oil to his refinery, allegedly because they did not want him to succeed. 

When asked about the potential impact on petrol prices, Dangote did not give a direct answer but highlighted how the price of diesel had decreased significantly after his refinery flooded the market with supply.

The richest man in Africa revealed that he faced resistance from international oil companies who were reluctant to provide him with crude oil for his refinery, doubting his ability to succeed with a daily capacity of 650,000 barrels.

He explained that after years of making significant profits, those companies were not supportive of his venture and were likely to resist the project. 

Despite the challenges of non-supply of crude and non-purchase of the product, he remains confident that the refinery is essential for the country, sub-region, and the continent. 

He said he resorted to importing crude oil from the United States to ensure a steady supply for the refinery.

Talking about imported fuel, Dangote said that it has high sulfur content and is very polluting. 

He also noted that in Nigeria, there have been increasing cases of cancer in recent years, which he attributed to the poor quality of the fuel being used. 

He advised that people in The Caribbean should also be mindful of the quality of fuel being imported to their region.

He emphasized that Nigerian crude oil is highly sought after, yet the country still imports the most environmentally harmful fuels. 

When asked about regulations for checking the quality of imported fuel, Dangote stated that there are regulations in place, and it is up to the regulators to enforce them.