The Nigerian government, represented by Minister of State for Petroleum Resources Heineken Lokpobiri, reaffirms its commitment to supporting the $20 billion Dangote Refinery. The government is dedicated to aiding local refineries, addressing economic sabotage allegations, and stabilizing fuel prices by promoting local production.
The Federal Government is reaffirming its commitment to supporting the $20 billion Dangote Refinery, according to Heineken Lokpobiri, Minister of State for Petroleum Resources. Speaking before a Senate ad-hoc committee led by Senator Opeyemi Bamidele, Lokpobiri emphasized the government’s dedication to backing not only the Dangote Refinery but also modular refineries and other stakeholders in the oil sector.
Lokpobiri asserted that the government is focused on providing comprehensive protection to all stakeholders within the industry, not just specific entities or regulators. This commitment extends to the ongoing rehabilitation of state-owned refineries, aimed at reducing import levels and better serving Nigerian needs.
Recently, the Federal Executive Council (FEC) instructed the Nigerian National Petroleum Company (NNPC) Limited to sell crude oil to local refineries, including Dangote’s, in naira rather than dollars. This measure seeks to alleviate the strain on foreign reserves and stabilize fuel prices in Nigeria while boosting local refining capacity.
Aliko Dangote, owner of the refinery, had previously accused authorities and international oil companies of obstructing crude oil supply to his facility, which began operations in December 2023 with a daily capacity of 350,000 barrels, aiming to reach 650,000 barrels per day by year-end. Despite initial regulatory challenges, the refinery has started supplying diesel and aviation fuel, with petrol expected to follow soon.
