We constructed our refinery with out authorities incentives — Dangote — Day by day Nigerian
Aliko Dangote, the President of Dangote Group, on Tuesday, mentioned that the Dangote Refinery was constructed with none authorities incentives.
Mr Dangote made this recognized throughout his keynote tackle on the Crude Oil Refinery Owners Association of Nigeria, CORAN, Summit in Lagos.
The Summit has the theme,”Making Nigeria a Net Exporter of Petroleum Products.”.
Dangote, who was represented by Ahmed Mansur, Dangote Group, mentioned that there was want for investor incentives to understand nation’s imaginative and prescient of turning into a refining hub.
He burdened the significance of making certain adequate feedstock availability, whereas calling for an finish to mortgaging crude oil.
“It is unfortunate that while countries like Norway are investing oil proceeds into a future fund, we in Africa are spending our future earnings,” Mr Dangote mentioned.
He additionally known as for prioritising the implementation of home crude provide obligations and increasing crude oil manufacturing capability to satisfy the calls for of latest refining services.
Mr Dangote counseled the efforts of President Bola Ahmed Tinubu, highlighting the federal government’s energetic steps to speed up International Oil Companies, IOC, divestments and different initiatives.
Despite being Africa’s largest crude oil producer, Dangote mentioned that Nigeria had lengthy relied on imports to satisfy its refined petroleum product wants.
He mentioned, “Nigeria is poised to transition from a “net importer” to a “net exporter” of refined merchandise, positioning itself as a major participant in world downstream commerce.
“This impending transformation is indicative of our progress as an industry and as a nation. We owe a debt of gratitude to President Tinubu for his unwavering support throughout this journey.”
Mr Dangote additionally addressed the alternatives in Africa, noting that the continent imports about three million barrels of petroleum merchandise every day, with half of that coming from coastal nations.
He highlighted that these nations produce over 3.4 million barrels of crude oil every day, with imports primarily sourced from Europe, Russia and different areas.
“In 2023 alone, this commerce was estimated at roughly 17 billion {dollars}.
“However, these markets will be better served from Nigeria, reducing logistics costs and allowing countries to purchase their petroleum product requirements just-in-time,” he defined.
He asserted that Nigeria and Africa may obtain self-sufficiency in petroleum merchandise, retaining all financial worth domestically.
“We have succeeded in cement manufacturing, and we are able to actually replicate that success in petroleum refining.
Mr Dangote highlighted that the Dangote Refinery already produces adequate diesel and jet gasoline to satisfy Nigeria’s wants and is ramping up manufacturing of PMS to satisfy home demand.
“The refinery has additionally begun exporting merchandise to markets in Europe, Brazil, the UK, the USA, Singapore, and South Korea.
He acknowledged that world developments within the petroleum sector, notably in Europe, are prone to disrupt conventional commerce flows for refined merchandise in Africa.
“Nigeria is uniquely positioned to capitalize on these alternatives and develop into a formidable participant within the world oil trade.
“As a vibrant exporter of refined merchandise, Nigeria stands to enhance its commerce steadiness and generate much-needed overseas foreign money.
“There is no doubt about Nigeria’s potential as a refining hub; let’s work together to make it a reality,” he added.
In his tackle, Governor Babajide Sanwo-Olu of Lagos State urged oil and fuel stakeholders to leverage the sector’s immense potential to develop into a worldwide provider of refined petroleum merchandise.
The governor was represented by Biodun Ogunleye, Commissioner for Energy and Mineral Resources.
He affirmed the state’s dedication to supporting the imaginative and prescient by means of initiatives that improve infrastructure, logistics and regulatory frameworks crucial for funding in vitality and refining sectors.
He famous that the Dangote Refinery, situated in Lagos, exemplifies the potential that exists when imaginative and prescient meets conducive circumstances for achievement.
“We are at a pivotal second in Nigeria’s financial journey, the place rising refining capability is crucial for decreasing reliance on imports and positioning Nigeria as a major participant within the world vitality market.
“This concentrate on refining will stimulate job creation, improve overseas alternate earnings and contribute to financial diversification.
“Lagos State is the economic powerhouse of Nigeria, and I recognise the central role it plays in driving the nation’s industrial and energy sectors,” he mentioned.
NAN
