The Dangote Petroleum Refinery in Nigeria: a growth opportunity for oil associations
In Nigeria’s oil industry, the arrival of the Dangote Petroleum Refinery is exciting news. This refinery, which belongs to the Dangote group, is changing the situation in the Nigerian market. It offers numerous collaboration opportunities to major associations in the sector.
According to a recent press release, three major associations in the Nigerian market representing 75% of the market have already been registered. They are the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), the Independent Petroleum Marketers Association of Nigeria (IPMAN) and the Major Oil Marketers Association of Nigeria (MOMAN).
The Dangote Petroleum Refinery also plans to collaborate with other distributors interested in the transportation and distribution of its petroleum products in the country.
According to Olufemi Adewole, the executive secretary of DAPPMAN, discussions have already started between the association and the refinery regarding the transportation and distribution of refined products. These discussions began last year during a meeting between the DAPPMAN President, Dame Winifred Akpani, the Vice President, Alhaji Mahmud Tukur, and the Dangote Group Chairman, Aliko Dangote.
This collaboration between the refinery and DAPPMAN members, who have a national presence, will be crucial for the distribution of refined products to consumers. It will both stimulate Nigeria’s economic development and give DAPPMAN members easier access to refined petroleum products.
Similarly, IPMAN also declared its intention to transport and distribute petroleum products from the Dangote Petroleum Refinery. Alhaji Hammed Fasola, National Vice President of the association, noted that IPMAN already has a business relationship with the refinery and is confident that this collaboration will be beneficial to both parties.
As for MOMAN, its executive secretary, Clement Isong, confirmed that its members have registered as distributors of Dangote Petroleum Refinery products. The conditions of this collaboration will be discussed soon.
Importantly, this refinery was designed to process 100% Nigerian crude oil, but also has the flexibility to process other types of crude oil.
The arrival of the Dangote Petroleum Refinery is therefore a growth opportunity for Nigeria’s oil associations. It will enable them to expand their product portfolio and strengthen their role in the distribution of refined products across the country..
This partnership between Dangote Petroleum Refinery and oil associations is expected to create a beneficial synergy for all stakeholders in the Nigerian oil industry, while contributing to the economic development of the country.