Farouk Ahmed, Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), has warned against relying heavily on products from the Dangote Refinery.
Ahmed expressed concerns about the refinery’s consistency and standardization, asserting that its products are of inferior quality compared to imported ones.
Addressing nationwide petroleum supply concerns, Ahmed denied media claims that the NMDPRA was attempting to undermine the Dangote Refinery. He clarified that the refinery is still in its pre-commissioning phase and has not yet been licensed, with only about 45% of its development completed.
Ahmed emphasized that depending solely on one refinery is not advisable for the nation’s energy security or market health, particularly given Dangote’s request to halt imports of AGO (Automotive Gas Oil) and DPK (Dual Purpose Kerosene) and direct all marketers to his refinery. He highlighted the potential risks of creating a monopoly.
Regarding product quality, Ahmed noted that Dangote’s AGO has a high sulfur content, failing to meet West Africa’s requirement of 50 parts per million (PPM). He stated that the refinery’s output ranges from 650 to 1,200 PPM, making it inferior to imported products in terms of quality.