By 2023, the nation will no longer import petroleum products, according to Mele Kyari, Group Chief Executive Officer of the Nigerian National Petroleum Company Limited.
On Tuesday, Kyari made this announcement at a press conference held at the state house in Abuja.
Kyari highlighted that the NNPC had the entitlement to 20% of production from the Dangote refinery during the weekly Ministerial Briefing, which was held at the Presidential Villa in Abuja and hosted by the Presidential Communication Team.
In order to satisfy Nigerians’ need for petroleum products, he said that the Dangote refinery, which would start operating in 2019, will increase the output from state-owned refineries.
We’re really pleased of the fact that the NNPC owns 20% of the Dangote refinery’s stock. Along with holding a 20% stock stake, we also have the first option to supply that facility with crude oil. However, we anticipated this challenge of the energy transition and knew it would arrive at a time when looking for buyers for your crude oil would be futile. As a result, we have secured the right to sell crude oil for a minimum price of 330,000 barrels for the ensuing 20 years.
Additionally, we are legally entitled to 20% of that plant’s output. The refinery will start operating at the latest by the middle of next year, and whatever it produces, we have the right to get 20% of it as part of our stock.
“The first quarter is projected, but we believe it can happen at the very least by the middle of next year. If it happens, this refinery alone can fracture the oil in a way that produces more gasoline than a regular refinery because it has a 650,000 barrel capacity and distinct technology.
You will notice that this country will now be a net exporter when we finish building the small, modular, condenser refineries we are building and our other refineries, including the Dangote Refinery. If that occurs, which we are very optimistic will happen, we hope to export petroleum products not only to the west African sub-region but to the rest of the world.
The supply flow will alter as a result of this. It will alter by the middle of the following year. By the middle of next year, you won’t need to import petroleum products into this country, Kyari continued.