Dangote Refinery has made its first purchase of Algeria’s light sweet Saharan Blend crude, acquiring a 1 million-barrel cargo from Glencore, according to market sources cited by Argus Media. Delivery is expected between March 15 and 20.
The $20 billion, 650,000-barrel-per-day refinery, built by Africa’s richest man, Aliko Dangote, began producing diesel, naphtha, and jet fuel in January last year, with petrol production following in September.
On February 10, Dangote Industries Limited Vice President Edwin Devakumar stated that the refinery could reach full capacity within 30 days.
Despite its world-class scale—surpassing Europe’s 10 largest refining facilities—the refinery has faced difficulties in securing enough local crude.
To bridge this gap, it is set to receive 12 million barrels of U.S. crude in February, following an earlier supply of 24 million barrels of Nigerian crude in October and November last year.
Touted as a game-changer for Nigeria and Africa’s oil industry, the refinery has already helped reduce Nigeria’s dependence on fuel imports.
Since its launch, competition among industry players has intensified, driving fuel prices lower and providing much-needed relief to consumers.
