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The refinery will eventually be able to process 650,000 bpd of oil (Image: Dangote

In practical terms, he said, this means that “When we are done with our refineries and
NNPC Ltd has “locked in the ability to sell crude the Dangote refinery, there remain other small
oil” to the Dangote Refinery at the rate of at least initiatives that we are doing, small modular
33,000 barrels per day (bpd) for the next two condensate refineries that we are building. If
decades. that happens – and we are very optimistic it will
The national oil company (NOC) will also happen – you would see that this country will
receive a 20% portion of the plant’s output cor- now be a net exporter,” he commented. “It will
responding to its equity stake, Kyari said. He also be a hub for the export of petroleum products,
noted that the refinery was due to begin produc- not just to the West African sub-region. This will
ing gasoline, known locally as premium motor happen. The flow of supply will change by the
spirit (PMS), in 2023 at the rate of 50mn litres middle of next year.”
per year, meaning that NNPC Ltd’s share would
be equivalent to 10mn litres per year. Kyari also acknowledged that self-sufficiency
The anticipated increase in supplies from in fuel supplies would not be possible without
the new refinery, along with the reactivation of the Dangote plant, as NNPC Ltd’s four refineries
NNPC Ltd’s own refineries following the com- could not meet domestic demand for petroleum
pletion of repair and upgrade programmes, will products. “Even if all our four refineries in three
help alleviate Nigeria’s dependence on imported locations are operating at 90% of installed capac-
fuel, Kyari said. “The combination of that and ity, they will only be able to raise 18mn litres of
our ability to bring back our refinery will elim- [gasoline per year],” he said. Therefore, he con-
inate any importation of petroleum products tinued, “even if all of them are working today,
into this country next year. You would not see you would still have a net deficit of PMS [and
any importation into this country next year,” he need] to import into this country.”
declared. When finished, the Dangote Refinery will
Kyari also predicted that Nigeria’s have a throughput capacity of 650,000 bpd. It is
long-standing fuel supply problems would evap- expected to begin operating at an initial capac-
orate soon, thanks to the small- and large-scale ity of 560,000 bpd next year. The facility is being
refining projects now being undertaken. The built by the Dangote Group, a privately-owned
country could even start supplying petroleum Nigerian industrial conglomerate, in the Lekki
products to other countries, he said. Free Zone near Lagos. ™

Panoro to look for helium, natural gas

in South Africa’s North Karoo basin

SOUTH AFRICA NORWAY’S Panoro Energy has secured explo- secured a 100% stake in Technical Co-operation
ration rights to a block in the Northern Karoo Permit 218 (TCP 218), an onshore site covering
basin in South Africa and will search for both a total of 660,800 heactares (6,608 square km) in
natural gas and helium there. Free state, from the Petroleum Agency of South
In a statement, Panoro said that it had Africa (PASA).

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