Mohammed Shosanya

President of Dangote Group, Aliko Dangote,says products refined at the Dangote Petroleum Refinery and Petrochemicals, the world’s largest single train refinery, are of superior quality compared to imported equivalents and meet international standards.

He expressed this after the House leadership insisted on testing other diesel products, alongside Dangote’s diesel at its state-of-the-art laboratory.

During a tour of both Dangote Petroleum Refinery and the Dangote Fertiliser Limited complex by members of the House of Representatives, the Speaker of the House of Representatives, Rt Hon. Tajudeen Abbas and other members who observed the testing of Automotive Gas Oil (diesel) from two petrol stations alongside Dangote Petroleum Refinery, commended the company for its significant investments and contributions to Nigeria’s development.

A statement quoted that the diesel samples were procured from two well-known filling stations near Eleko junction along the Lekki Epe Expressway, by the honourable members. Chairman of the House Committee on Downstream, Hon. Ikeagwunon Ugochinyere, and Chairman of the House Committee on Midstream, Hon. Okojie Odianosen, oversaw the collection of samples from the Mild Hydro Cracking (MHC) unit of Dangote refinery for testing of all the samples.

Lab tests disclosed that Dangote’s diesel had a sulphur content of 87.6 ppm (parts per million), whereas the other two samples showed sulphur levels exceeding 1800 ppm and 2000 ppm respectively.

He emphasised that these findings debunked claims made by Farouk Ahmed, CEO of the Nigerian Midstream and Downstream Petroleum Authority, who recently asserted that imported diesel surpasses domestically refined products.

Ahmed had alleged that Dangote refinery and other modular refineries like Waltersmith and Aradel produced diesel with sulphur content ranging from 650 to 1200 ppm—a statement criticised by many Nigerians as a tactic to favour imported products over local ones.

Dangote challenged the regulator to compare the quality of refined products from his refinery with those imported, advocating for an impartial assessment to determine what best serves the interests of Nigerians.

He said:”We produce the best diesel in Nigeria. It’s disheartening that instead of safeguarding the market, the regulator is undermining it. Our doors are open for the regulator to conduct tests on our products anytime; transparency is paramount to us. It would be beneficial for the regulator to showcase its laboratory to the world so Nigerians can compare. Our interest is Nigeria first because if Nigeria doesn’t grow, we have limited capacity for growth.

“Right Honourable Speaker and esteemed members, you’ve witnessed the results of the credibility test. I appreciate your wise counsel in procuring samples from the filling stations alongside our refinery’s product. Ours shows a sulphur content of 87.6 ppm, approximately 88, whereas the others exceeded 1,800 ppm. Although the NMDPRA permits local refiners to produce diesel with sulphur content up to 650 ppm until January 2025, as approved by ECOWAS, ours is significantly lower. Next week, we aim to achieve 10 ppm, aligning with the Euro V standard. Imported diesel is capped at 50 ppm, but as you’ve seen, those from the stations, imported by major marketers, fall well outside this standard.”

Dangote said that high-sulphur content diesel regularly imported into the country often comes with dubious certifications. He emphasised that the most effective method to verify the quality is to purchase the product directly from filling stations and conduct credibility tests. According to him, this issue has resulted in both health risks and financial losses for Nigerians.

“Dubious certifications often accompany the importation of high-sulphur diesel into Nigeria, causing both health risks and financial losses for Nigerians,” noted Dangote. “The best method to verify this is to purchase the product directly from filling stations where end-users obtain it. I believe Farouk Ahmed speaks without sufficient knowledge of our refinery. We have successfully exported diesel and jet fuel to Europe and Asia without any complaints; in fact, we have received repeated orders, indicating satisfaction with our products.”

Speaking, VP of Gas and Oil at Dangote Industries Limited, Devakumar Edwin, highlighted recent actions by European countries like Belgium and the Netherlands. “These countries have expressed concerns about the carcinogenic effects of high-sulphur diesel being dumped into the Nigerian market, prompting them to impose bans on such fuel exports to West Africa.”

Edwin told the federal lawmakers that the Dangote Petroleum Refinery, designed to process a wide range of crudes including various African and Middle Eastern crudes, as well as US Light Tight Oil, conforms to Euro V specifications. In addition, he said, it is designed to comply with US EPA, European emission norms, Department of Petroleum Resources (DPR) emission/effluent norms, and African Refiners and Distribution Association (ARDA) standards.

Noting that products from the $20 billion facility are of high quality and meet international standards, Edwin said it has the capacity to meet 100% of Nigeria’s demand for petrol, diesel, kerosene, and aviation Jet, with surpluses available for export.

The Group’s VP, Olakunle Alake, expressed disappointment over accusations of monopoly against the Dangote Group. He stressed that there are multiple players in the industry, including the Nigerian National Petroleum Corporation (NNPC), which operates four refineries.

Expressing concern over the controversy surrounding the quality of imported refined products into Nigeria, Speaker Rt. Hon. Abass stated that the Green Chamber would establish a committee to investigate the matter thoroughly. He emphasised that sampled products from various sources would undergo testing as part of this initiative.

The Speaker also expressed admiration for the infrastructure at the Dangote Oil Refinery, describing it as a significant asset in Nigeria’s quest for self-sufficiency in petroleum products. He noted that the refinery has positioned itself as a pivotal player, especially at a time when global concerns over energy security and sustainability are paramount.

“Today’s visit to the magnificent facilities of Dangote Industries Oil Refinery section has been nothing short of enlightening. It has afforded us a rare opportunity to witness first-hand the monumental strides that your organisation has made in transforming the landscape of petroleum production in Nigeria. The sheer scale and sophistication of this facility are awe-inspiring; it stands as a beacon of hope for our country as we navigate through the turbulent waters of energy supply challenges,” he said.

Commending the state-of-the-art technology implemented at the petroleum refinery, Abbas praised it as revolutionary and a shining example of engineering and innovation excellence.

“Each corner of this facility resonates with the echoes of hard work, dedication, and an unyielding pursuit of quality. It is evident that every drop produced here carries not just oil but also the hopes and dreams of millions who yearn for a brighter future. We are deeply impressed by what we have seen during this visit which confirms the rating of this industry as the single largest oil refinery in Africa. This remarkable achievement does not merely reflect corporate success; it symbolises national pride, a tribute to what can be accompanied when visionary leadership meets relentless determination,” he said.

Acknowledging the numerous challenges likely encountered during the construction of the refinery, the Speaker lauded Dangote for his steadfast commitment to achieving excellence.

Mohammed Shosanya

President of the Dangote Group, Aliko Dangote,said he was open to independent testing of his refinery’s products.

The development would only attest to their quality while exposing the problem with some of the products being sold by other players in the sector,he told lawmakers on Saturday,who were on fact-finding mission to his facility in Lagos.

Dangote,who received the leadership of the House led by Speaker Tajudeen Abbas and his deputy Benjamin Kalu,
also implored the House to investigate the quality of laboratories being used to test imported products and compare that with the one at the Dangote Refinery.

He decried the damage being done to vehicles and engines by substandard products.

He urged the lawmakers to investigate the quality of diesel and petrol at filling stations by setting up a committee to test products at various filling stations across the country.

Mohammed Shosanya

Former Group Managing Directors of the Nigerian National Petroleum Company Limited,have deplored the spate of crude oil theft in the country.

The ex-company’s bosses,who expressed this in a communique issued at the conclusion of the meeting of former NNPC GMDs at the CEO Forum in Abuja,said any attack on crude oil and gas facilities as well as illegal refining are acts of criminality and economic sabotage.

Dr Jackson Gaius Obasek, Chief Chamberlain Oyibo,Engr Funsho Kupolokun,Engr Abubakar Lawal Yar’adua,Engr Austen Oniwon,Engr Andrew Yakubu and Engr Abiye Membere,signed the communique which was made available to Premium News on Saturday.

They maintained that all activities hindering oil and gas exploration and production in Nigeria must be sanctioned.

They added:”We appreciate that the PIA has made provisions for the Host communities’ development and also provided for sustainable funding.

“We trust that government security agencies will do the needful and ensure that crude oil theft, illegal refining and activities of pipeline vandals are stopped to allow for investment and growth of Nigeria’s oil and gas sector.

“We appreciate the support that all tiers of Government and the Nigerian citizens continue to give NNPC and trust that this will be sustained by the present administration of H.E. President Bola Ahmed Tinubu”

They expressed their unwavering support for the current leadership of the NNPCL and their commendable efforts in advancing the company’s strategic objectives across key sectors.

They obtained insights into NNPC’s business activities in the context of global energy industry dynamics, strategic aspirations and operational updates.

“In particular, oil and gas production growth plan, gas infrastructure project delivery plan, progress on refinery rehabilitation and issues related to petroleum product supply and energy security were discussed”,they said.

They commended Mele Kyari as the first Group CEO of the Nigerian National Petroleum Company Limited to implement the Petroleum Industry Act, and noted with satisfaction the progress made with hope that its limitations will be addressed over time.

They acknowledged with satisfaction Kyari’s significant progress made in:increasing crude oil and gas production,funding of upstream operations and investments,gas supply and infrastructure development for domestic and export including CNG and LPG delivery,refineries rehabilitation progress,and reduction in carbon emissions and commercialisation of Nigeria’s vast gas resources.

They expressed expressed our satisfaction in the achievements recorded and encouraged the management team to continue advancing strategies to improve operations, grow portfolio, and manage talent.

“We note with satisfaction the continuation of the policy on recruitment which takes into consideration the principles of diversity and inclusion as well as performance based career progression via a transparent process.

“We also noted that limited information is in the public domain on NNPC’s operations since transition to a private commercial entity. This has led to misleading commentary which we believe is not in tandem with the strides achieved by the company.

“We empathise with the management team over the state of onshore operations with over seven thousand illegal refineries destroyed and over five thousand illegal connections removed”,the communique quoted.

Mohammed Shosanya

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA),and Dangote Refinery have differed over claims that the latter produces inferior diesel.

The Chief Executive Officer of NMDPRA,Farouk Ahmed, has disclosed that the Dangote Refinery and some other refineries in the country produce inferior products compared to imported commodities.

Ahmed had elaborated that in terms of quality, Dangote’s current AGO (diesel) suffers from the lowest quality in terms of sulfur content, falling short of West Africa’s requirement of 50 parts per million (PPM).

“Dangote Refinery, as well as some modular refineries like Watersmith refinery and Aradel refinery are producing between 650 to one 1,200 PPM. Therefore, in terms of quality, their products are inferior to imported ones,” he said.

But,Dangote Industries Limited (DIL) punctured Farouk claims criticizing the quality of its products, adding that its refined diesel is 80% superior to those currently imported into Nigeria.

Image-maker of the company, Anthony Chiejina, said the reports of producing high-sulfur diesel or lesser quality is mischievous and aimed at tarnishing the reputation of the $20 billion refinery.

The allegation was false, baseless, and mischievous,he said,adding that the refinery is designed to produce top-quality petroleum products that meet strict international standards.

He added: “The false and misleading allegations made by some media outlets that DR is producing substandard diesel which is why it reduced the price by 37%, is baseless and mischievous.”

“Until last year, diesel imports into Nigeria were up to 7,000 parts per million (ppm) of Sulphur which has been going on for many years. Our diesel is produced currently at significantly lower levels of Sulphur; as such, we find baseless the allegation that the reason for the reduction is linked to quality. What we are producing is 80% of what is being imported into the country.

“Another inaccurate assertion is that medium level Sulphur diesel is meant for off-road use. This is a completely false statement as this would have invariably meant that all the imports for the last twenty years have been damaging equipment.”

He disclosed that diesel imports for the high Sulphur grade have been at significantly higher prices until DR started operation. If indeed high Sulphur diesel is sold at lower prices, how come the country never saw the lower prices?

Speaking on the aspect of reduction, he said the reason was because Dangote Refinery diesel price was primarily due to the patriotism of the management to the nation as well as prevailing market dynamics supply and demand.