Business

Dangote refinery petrol production affecting European markets – OPEC

Published

12 months ago

January 16, 2025

257 Views

The Organisation of the Petroleum Exporting Countries says the Dangote Petroleum Refinery and its efforts to ramp up Premium Motor Spirit (petrol) production are impacting the PMS market in Europe.

The 650,000-capacity Dangote refinery, which began operations in January last year, started producing PMS in September, years after the country had relied solely on importation for its fuel needs.

Since it started production, the refinery has exported petrol, diesel, and aviation fuel to other countries within and outside Africa.

A report by OPEC on Wednesday stated that the emergence of Dangote refinery has reduced the importation of petroleum products from Europe to Nigeria.

“The ongoing operational ramp-up efforts at Nigeria’s new Dangote refinery and its gasoline (petrol) exports to the international market will likely weigh further on the European gasoline market.

“Continued gasoline production in Nigeria, a country that has relied heavily on imports to meet its domestic fuel needs in the past, will most likely continue to free up gasoline volumes in international markets which will call for new destinations and flow adjustments for the extra volumes going forward.

”In the last quarter of 2024, OPEC said “imports also declined, particularly oil product imports, improving the outlook for the external sector.”

The report stated that the gasoline crack spread in Rotterdam against Brent increased slightly on healthy exports although gasoline inventories at the Amsterdam-Rotterdam-Antwerp storage hub remained high.

It added that the gasoline inventory builds are expected to extend into the coming month amid a lengthening gasoline balance in the Atlantic Basin due to winter-season demand-side pressures.

OPEC maintained that the ongoing recovery in gasoline refinery output levels will likely exacerbate the already bearish market sentiment.

Meanwhile, the Monthly Oil Market Report disclosed that the average daily crude production in Nigeria hit 1.507 million barrels in December, according to data OPEC got from secondary sources.

It was said to have risen by 12,000bpd, from 1.477mbpd in November.However, the figure supplied by the government was 1.485mbpd for December.

This aligns with that of the Nigerian Upstream Petroleum Regulatory Commission.

Recall that the Dangote refinery was ranked above the 10 biggest refineries in Europe because of its capacity, according to data compiled by Bloomberg.

The $20bn Dangote refinery can refine 650,000 barrels of petroleum products per day.

The report stated that this is over 246,00bpd capacity more than Shell’s Pernis refinery located in the Netherlands.

It added that the Pernis refinery has an installed capacity of 404,000bpd the biggest in Europe. The BP Rotterdam in the Netherlands has 380,000 capacity.

Bloomberg also said the GOI Energy ISAB refinery in Italy was built with a refining capacity of 360,000bpd.

Also, the TotalEnergies Antwerp refining facility in Belgium can refine 338,000bpd.

Others listed in the report were the Orlen Plock refinery in Poland with 327,000bpd; Shell’s Rheinland in Germany with 327,000bpd; Miro refinery in Germany has 310,000 capacity and the ExxonMobil Anterwep refinery in Belgium with 307,000 capacity.

Up Next

Gbenga Daniel, Adebutu express condolence on demise of rep member, Onanuga

Don't Miss

Dangote Refinery’s Affecting European Markets – OPEC

Click to comment

Business

Nigeria To Review Inflation Reporting First Time In 15 years

The agency said the expected spike in December inflation did not reflect actual price movements in the economy but was largely a statistical distortion caused by the rebasing of the Consumer Price Index.

Published

22 hours ago

January 15, 2026

OCHEFA

20 Views

Nigeria’s National Bureau of Statistics (NBS) has announced plans to revise its inflation reporting methodology.

This followed concerns that December’s year-on-year figure may be artificially inflated due to the impact of last year’s rebasing exercise.

Reuters reported that the rebasing, the first in 15 years, adopted December 2024 as the index reference point.

Officials explained that the change is likely to exaggerate the year-on-year inflation figure for December without accurately capturing prevailing market trends.

Business

Dangote splashes N15bn on cement distributors, targets 90m tons by 2030

Dangote made this known during an event organised by the Group to celebrate its most loyal Dangote Cement customers, where CNG-powered trucks, SUVs and other items were presented to distributors across various performance categories, including regional awards, growth awards, best distributor in export sales and national awards.

Published

22 hours ago

January 15, 2026

OCHEFA

20 Views

Aliko Dangote, President of the Dangote Group, yesterday, rewarded his cement distributors with gifts valued at about N15 billion.

The group is targeting a cement production capacity of approximately 90 million tonnes by 2030.

According to him, the cement expansion drive forms part of the group’s newly launched Vision 2030 strategy, which is aimed at positioning the conglomerate as a $100 billion enterprise by the end of the decade through industrial expansion and cross-border investments.

“Under this vision, we have actually signed an agreement.

But before even signing the agreement, the target that we have, our cement company, will end up being at 90 million tons by 2030 means that we are 50 per cent more than the entire production of Saudi Arabia,” Dangote said.

He said the group has also signed an agreement to expand its petroleum refinery from 650,000 barrels per day to 1.4 million barrels per day, adding that construction work would commence immediately.

Business

Nigeria, UAE scrap tariffs on over 13,000 goods

Dr Oduwole said that the tariffs removal was part of a new trade pact aimed at expanding market access for Nigerian goods, businesses, and professionals, under the Nigeria–UAE Comprehensive Economic Partnership Agreement signed in January 2026.

Published

2 days ago

January 14, 2026

OCHEFA

25 Views

•Dr Jumoke Oduwole

Nigeria and the United Arab Emirates have signed an agreement to eliminate tariffs on 13,000 manufactured products.

Dr Jumoke Oduwole, Nigeria’s Minister of Industry, Trade, and Investment disclosed this, saying that while the Federal Government has eliminated tariffs on 6,243 products imported from the UAE , they have removed tariffs on 7,315 products imported from Nigeria.

Under the agreement, Nigeria will immediately remove tariffs on 3,949 products, representing 63.3 per cent of the total, while phasing out tariffs on 2,294 products over five years. Nigeria excluded 123 products from tariff liberalisation.

On its part, the UAE will immediately eliminate tariffs on 2,805 products, representing 38.3 per cent of the total, remove tariffs on 1,468 products within three years, and on 3,042 products within five years.

The UAE excluded or prohibited 593 products.