President of Dangote Industries Limited, Aliko Dangote, has revealed that the recent reduction in the price of Premium Motor Spirit, commonly known as petrol, to N899.50 per litre at its loading gantry was primarily driven by market forces.
According to Dangote, “The price reduction is a response to the market, let me just put it that way. It is a refinery where we invested over $20bn and I think we have to try and protect our interests and also our investments.”
Dangote made these statements during an interview in an Arise TV documentary, where he also reiterated that the 650,000 barrels per day refinery will not only transform Nigeria’s oil sector but also the country’s entire economy.
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“The more we allow imports to come in, not because I do not want imports, but the more we allow imports to come in, the more we keep using most of our foreign exchange out of the country,” he said.
Dangote described the $1bn investment by the Nigerian National Petroleum Company in the refinery as “a drop in the ocean,” adding that “in 2021, when we signed the agreement, even if you give us $1bn, $1bn is a drop in the ocean in a $20bn refinery.”
He also clarified that the refinery now refines 350,000 barrels of crude per day, with plans to reach full capacity soon.
Dangote’s Vice President, Devakumar Edwin, revealed that the facility’s full capacity is 650,000 barrels per day, adding that “the Nigerian crude production is more than double our requirements.”
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