In the African energy sector, one of the most talked about issues in recent times is the construction and operation of the Dangote Refinery, a major project that has attracted the attention of many in the sector. There were rumours that NNPC Ltd. had been hampering the development of the $20 billion refinery. However, recent statements by the company have revealed that this is not the case.
In fact, NNPC claims to have been very supportive of the project, positioning itself as a shareholder with a 7.25% stake. In a recent intervention, Executive Vice President (Downstream) Dapo Segun stressed that the presence of NNPC as a co-shareholder made any attempt to frustrate the project illogical. “NNPC has supported the Dangote Refinery in line with the duties of a shareholder. We have taken additional measures to ensure its success.”
Delays in the supply of crude oil were also discussed. Segun explained that the delays were due to normal procedures in commercial transactions, and that each deal was subject to specific terms and conditions. “Negotiations may take time, but we always reach conclusions. We are a company, and everything is done in accordance with the terms and conditions signed.”
The Director, Corporate Communications, Olufemi Soneye, also mentioned that NNPC Ltd. has started deploying trucks and vessels to Dangote Refinery to load petrol, ahead of the scheduled loading date of September 15.
On his part, the Executive Secretary of DAPPMAN, Olufemi Adewole, confirmed that loading of diesel and jet fuel has commenced and they are looking forward to loading petrol once clarity on the pricing model is established.
Finance Minister, Mr. Wale Edun, emphasizes that structuring the deal in naira will help reduce pressure on the local currency.
Thus, despite persistent questions and rumors, it appears that the NNPC is actively supporting the Dangote Refinery project, and that concrete actions are being taken to facilitate its smooth execution. This major project, if it materializes as expected, could have a significant impact on the energy sector in Africa and beyond.