• Login
  • Register
Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
Nairametrics
No Result
View All Result
Home Business News

Dangote Refinery’s major competition has been identified

Emmanuel Abara Benson by Emmanuel Abara Benson
October 2, 2018
in Business News, Company News
Dangote Refinery

Dangote Refinery

Share on FacebookShare on TwitterShare on Linkedin

Long before the 2020 date that has been set for Dangote Refinery’s commencement of operation, its major competitors have been identified. Interestingly, the competitors are not some major refineries owned by some of the world’s biggest energy companies. Instead, they are modular refineries.

A recent Bloomberg analysis described the Government-backed modular refineries as ‘a swarm of tiny challengers’ which Africa’s richest man, Aliko Dangote, would have to contend with as he prepares to launch Dangote Refineries.

Mr Dangote has put down some billions of dollars in what can best be described as a strategic and timely investment in the Nigerian oil and gas sector; building a world-class, state of the art refinery (the biggest in Africa), which is expected to refine as much as 650,000 barrel of crude per day.

RelatedStories

Forex volatility: BDC operators reveal over 90% of dollar liquidity is off the books

Experts attribute Nigeria’s $3.73 billion balance of payments surplus to FX depreciation, Dangote Refinery 

June 29, 2025
AAM2025: Afreximbank’s support for Dangote Refinery hits over $4 billion — Benedict Oramah

AAM2025: Afreximbank’s support for Dangote Refinery hits over $4 billion — Benedict Oramah

June 28, 2025

Nigeria is trying to solve a long-standing problem once and for all

The Nigerian Government is trying hard to solve its long-standing problem of over-dependence on fuel importation. This has become a source of disgrace to the oil-rich OPEC member whose state-owned refineries are non-functional.

It is expected that by 2020 when Dangote’s eagerly-awaited refinery project is finally completed, it would go a long way in solving this problem.

In the same vein, the modular refineries could also go a long way in solving the problem. Already, the Federal Government has licensed about forty of such refineries, ten of which have reached advanced stages of development.

As we reported, the Government’s commitment to the modular refinery project informed its recent decision to borrow some $500 million from the Export-Import Bank of China (CEXIM). With these developments, it has been projected that Nigeria could end up exporting about 300,000 barrels of refined petroleum product by 2019.

Why the modular refineries pose a threat to Dangote Refinery

In the meantime, two of Nigeria’s newly-licensed modular refineries have already commenced work, refining about 17,000 per day. Many others are expected to operate in this capacity, with the least producing about 1,000 barrels on a daily basis.

As the Bloomberg analysis surmised, these small refineries’ collective output could potentially “surpass Dangote’s giant facility” by the time they are all ready.

Meanwhile, Dangote Refinery is already well-positioned to operate profitably. Moreover, the competition does not really matter. According to Ibe Kachukwu:

“If we succeed in stopping the importation of refined petroleum products, something I’m very committed to, we will be saving 30 to 40 percent of the foreign exchange in this country.” – Kachukwu


Follow us for Breaking News and Market Intelligence.
Tags: Dangote Refinerymodular refineries in NigeriaNigeria's Federal Government
Emmanuel Abara Benson

Emmanuel Abara Benson

Emmanuel Abara Benson is an experienced business reporter and editor. He currently edits articles at Nairametrics. Reach him via email on Emmanuel.abara@nairametrics.com and follow him on Twitter @Mr_Abara for his personal opinions.

Related Posts

Forex volatility: BDC operators reveal over 90% of dollar liquidity is off the books
Economy

Experts attribute Nigeria’s $3.73 billion balance of payments surplus to FX depreciation, Dangote Refinery 

June 29, 2025
AAM2025: Afreximbank’s support for Dangote Refinery hits over $4 billion — Benedict Oramah
Energy

AAM2025: Afreximbank’s support for Dangote Refinery hits over $4 billion — Benedict Oramah

June 28, 2025
Dangote refinery fuel distribution initiative set to cut petrol prices and boost supply nationwide – Expert says 
Energy

Dangote refinery fuel distribution initiative set to cut petrol prices and boost supply nationwide – Expert says 

June 18, 2025
NMDPRA bans 60,000-litre fuel tankers from depots to curb accidents  
Energy

PETROAN admits not lifting petrol from NNPC depots, backs Dangote refinery

June 17, 2025
Petrol import in Nigeria drops by 3.58 billion litres after ‘subsidy removal’ 
Energy

Nigeria’s petrol import bill crashes by 54% in Q1 2025 as Dangote boosts local supply 

June 12, 2025
Tinubu commissions 37km Lekki Deep Seaport Access Road section built by Dangote 
Business News

Tinubu lauds Dangote refinery, says it’s “a great phenomenon of our time” in Nigeria 

June 6, 2025
Next Post
Nigerian sea port

How importation is killing Nigeria's economy

Comments 1

  1. Anonymous says:
    October 4, 2018 at 10:39 am

    Billions are mentioned but no job are been given to skilled or unskilled labourers

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Emple
nlng

first bank
Zenth Bank








DUNS

Recent News

  • CAC launches AI powered registration portal, promises business registration within 30 minutes 
  • African countries launch continental payment card, PAPSSCARD to strengthen trade integration 
  • Nigeria must adopt AI surveillance to build future ready capital market — SEC 

Follow us on social media:

Recent News

CAC to increase services fees from August 15, cites economic realities  

CAC launches AI powered registration portal, promises business registration within 30 minutes 

July 1, 2025
African countries launch continental payment card, PAPSSCARD to strengthen trade integration 

African countries launch continental payment card, PAPSSCARD to strengthen trade integration 

July 1, 2025
  • iOS App
  • Android App
  • Contact Us
  • Home
  • Markets
  • Sectors
  • Economy
  • Business News
  • Financial Literacy
  • Disclaimer
  • Ads Disclaimer
  • Copyright Infringement

© 2025 Nairametrics

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms below to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Social Media Auto Publish Powered By : XYZScripts.com
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
    • Economy
    • Nairalytics
  • Markets
    • Currencies
    • Cryptos
    • Commodities
    • Equities
      • Company Results
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Sectors
    • Agriculture
    • Aviation
    • Company News
    • Consumer Goods
    • Corporate Updates
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Health
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Renewables & Sustainability
    • Tech News
  • Business News
    • Budget
    • Public Debt
    • Funds Management
    • Tax
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
    • Research Analysis
  • Recapitalization
    • Access Holdings Offer
    • Fidelity Bank Offer
    • GTCO Offer
    • Zenith Bank Offer
  • Login
  • Sign Up

© 2025 Nairametrics