Dangote: Fuel Queues Over, Output Hits 50m Litres

Aliko Dangote, Chairman of the Dangote Group, has promised Nigerians that the era of fuel scarcity is officially over. The industrialist gave this assurance on Friday following a strategic meeting with President Bola Tinubu at the Presidential Villa in Abuja.

Dangote announced a major milestone for the country’s energy sector. His refinery has officially notified regulators that it is ready to supply 50 million litres of Premium Motor Spirit (PMS) daily. This volume is significantly higher than Nigeria’s current daily consumption.

Ending Decades of Fuel Queues

According to Dangote, Nigeria has struggled with fuel queues since 1972. However, robust local production is finally solving this persistent problem. He noted that the country no longer needs to rely on volatile imports to meet its energy needs.

He also emphasized the reliability of the new system. Even during the refinery’s routine maintenance, the fuel supply remained consistent.

“We are not just producing; we are producing enough to ensure that the days of scarcity are behind us,” Dangote stated.

Surplus Output and Exports

The refinery expects a significant production surplus by early next year. By February, Dangote projects an excess output of 15 to 20 million litres daily above domestic requirements.

This excess capacity will position Nigeria as a major energy hub. Consequently, the country will begin exporting fuel to neighbouring West African nations, helping to stabilize supply across the region.

Economic Benefits and Lower Prices

Dangote highlighted how the refinery will boost the broader economy. Local manufacturers, especially in the plastics industry, will now access raw materials locally. This shift is expected to save Nigeria approximately $400 million annually in import costs.

Furthermore, Dangote explained the recent drop in petrol and diesel prices. He attributed the relief to two main factors:

• Increased market competition.
• A drastic reduction in fuel smuggling.

He reiterated that the refinery is a long-term national asset. Its primary goal is to make Nigeria self-sufficient in fuel, fertilizer, and power.

Global Expansion Plans

Dangote also unveiled an ambitious roadmap for global dominance. The Group aims to increase refinery capacity to 1.4 million barrels per day by 2028. If achieved, this will surpass India’s Reliance refinery to become the largest in the world. Construction for this expansion is scheduled to begin in January.

Additionally, the Group plans to scale up urea production to 12 million tonnes annually. This target would place Nigeria ahead of Russia and Qatar as the world’s leading producer.

Fixing Infrastructure Challenges

The Chairman also addressed logistical bottlenecks in the non-oil sector. He specifically pointed to congestion at Apapa, Tin Can, and Lekki ports. Currently, this congestion hinders the export of solid minerals like coal and copper.

To resolve this, the Dangote Group is developing a deep-sea port at Olokola. It is set to be West Africa’s largest port and is expected to be completed within two and a half years.

A Call to Local Investors

Finally, Dangote expressed strong support for the Tinubu administration’s “naira-for-crude” initiative. He described it as a vital, patriotic policy for strengthening the economy.

He concluded by urging wealthy Nigerians to prioritize productive investments over luxury items.

“If you have money for a private jet, invest in industries and create jobs,” Dangote advised. He stressed that domestic investors must lead the way in industrialization to attract foreign capital.