The Organisation of the Petroleum Exporting Countries (OPEC) has praised the Dangote Petroleum Refinery for its pivotal role in reducing Nigeria’s dependence on imported fuel.
In its **Monthly Oil Market Report**, released on January 15, 2025, OPEC highlighted that the Lagos-based refinery has begun producing refined petroleum products, providing much-needed relief for Nigeria's domestic fuel demands.
**“The ongoing operational ramp-up efforts at Nigeria’s new Dangote refinery and its gasoline exports to the international market will likely weigh further on the European gasoline market,”** the report noted.
According to OPEC, the refinery's gasoline production is not only addressing Nigeria’s energy needs but is also reshaping the global fuel trade. By increasing its output, the refinery is freeing up significant gasoline volumes on the international market, forcing suppliers to seek new destinations for their products.
For years, despite being one of the world’s leading crude oil producers, Nigeria has grappled with energy challenges, relying almost entirely on imported refined petroleum products due to the poor performance of its state-owned refineries. This reliance led to persistent fuel shortages and skyrocketing prices, especially after the removal of fuel subsidies in May 2023, which pushed petrol prices from around ₦200 per litre to over ₦1,000 per litre.
The inauguration of the **Dangote Refinery** in December 2023 marked a significant turning point. With an initial production capacity of **350,000 barrels per day**—and plans to scale up to **650,000 barrels per day** by the end of 2025—the refinery is set to meet both local and international demands.
OPEC’s report underscores the refinery's transformative potential for Nigeria’s energy landscape. By reducing reliance on fuel imports and stabilizing domestic supply, the refinery could alleviate the economic strain caused by high fuel costs and recurrent shortages.
As production ramps up, the Dangote Refinery is not only charting a course toward a more self-reliant energy sector in Nigeria but also creating new dynamics in the global gasoline market. This development signals a promising future for Nigeria’s oil and gas industry and offers a pathway to greater economic stability over flow, t.