The Manufacturers Association of Nigeria (MAN) has emphasized that the production of polypropylene by Dangote Petroleum Refinery & Petrochemicals will significantly transform Nigeria’s textile industry while reducing the country’s dependency on imports. This move is expected to save Nigeria approximately $267 million in foreign exchange spent on importing polypropylene. Polypropylene Deficit Hindered Textile Industry Growth In a recent interview on the Channels Business Incorporated Programme, Segun Kadir-Ajayi, Director-General of MAN, highlighted the struggles of Nigeria’s textile industry, which once thrived with over 25,000 workers, particularly in the northern region. The lack of locally produced polypropylene and scarcity of foreign exchange for imports forced many textile companies to shut down, further weakening the manufacturing sector. Dangote Refinery’s Contribution to Industrial Growth Nigeria currently imports nearly 90% of its annual polypropylene needs, which totals about 250,000 metric tonnes per year. With the launch of Dangote’s polypropylene production, Nigeria is poised to not only meet local demand but also become a net exporter, generating much-needed foreign exchange. “For us in the manufacturing sector, this is a significant milestone. The 250,000 metric tonnes national demand will now be covered, reducing reliance on imports,” Kadir-Ajayi stated. “This development will positively impact the textile, plastic, and furniture industries, saving Nigeria $267 million in import costs annually.” Dangote Petrochemical Plant: Key to Industrial Advancement The $2 billion Dangote Petrochemical Plant, located in Ibeju-Lekki, Lagos, is engineered to produce 77 grades of polypropylene, boasting a capacity of 900,000 metric tonnes per year and an annual revenue projection of $1.2 billion. This initiative will: For more insights on how polypropylene production is shaping Nigeria’s industrial sector, visit The World Bank’s Industrialization Report. READ ALSO: Follow the LMSINT MEDIA channel on WhatsApp: Join Our WhatsApp Group Hear: Chat on WhatsApp Join our Telegram Channel
Boosting Local Refining and Strengthening Energy Security The Federal Government of Nigeria has officially banned the export of crude oil allocated for domestic refineries. This move aims to enhance the country’s refining capacity, minimize reliance on imported petroleum products, and reduce pressure on foreign exchange reserves. Previously, about 500,000 barrels per day meant for local refining were illegally sold on the international market, as producers and traders exploited the system for quick foreign exchange earnings. To curb this practice, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has announced that it will no longer issue export permits for crude oil designated for domestic refineries. Strict Regulatory Measures to Ensure Compliance The commission emphasized that any alterations to cargoes designated for local refining require explicit approval from the Chief Executive Officer of NUPRC. In a February 2, 2025, directive, addressed to oil producers and exploration companies, NUPRC CEO, Engr. Gbenga Komolafe, reiterated that diverting crude meant for Nigerian refineries violates the Petroleum Industry Act (PIA) 2021. During a recent meeting with over 50 key industry stakeholders, including refiners and producers, both sides blamed each other for inconsistencies in implementing the Domestic Crude Supply Obligation (DCSO) policy. Refiners claimed that producers prioritized foreign markets over local supply, while producers argued that refiners failed to meet commercial and operational agreements, forcing them to seek alternative buyers. The regulator, however, has introduced new measures to enforce compliance, warning both parties against further violations. Producers must adhere strictly to the DCSO policy and obtain approval before diverting any crude oil originally intended for local use. Legal Framework and Enforcement Actions Under Section 109 of the Petroleum Industry Act (PIA) 2021, the government aims to ensure a stable supply of crude oil to domestic refineries while reinforcing Nigeria’s energy security. To enforce this regulation, NUPRC has implemented the following: This initiative aligns with Nigeria’s Naira-for-Crude programme, which ensures that refineries purchase crude oil in naira and sell refined petroleum products in local currency. Domestic Refining Demand Reaches 770,500 Barrels Per Day According to NUPRC’s latest report, Nigeria’s major refineries require a total of 770,500 barrels per day (bpd) in the first half of 2025. These include: This 770,500 bpd allocation represents 37% of the forecasted first-half 2025 daily crude production of 2.07 million barrels. International Oil Companies (IOCs) and independent producers, including Shell, Chevron, and Seplat Energy, will supply the required crude. NUPRC’s Project One Million Barrels, launched in October 2024, has significantly boosted the country’s crude production, ensuring enough supply for both domestic use and exports. Nigeria’s Oil Production Sees a 7.38% Increase Nigeria’s daily average oil production rose by 7.38% year-on-year in December 2024, reaching 1.667 million barrels per day (mbpd) from 1.552 mbpd in December 2023. However, the December 2024 output dropped 1.35% month-on-month, from 1.69 mbpd in November 2024 to 1.667 mbpd. Data from NUPRC showed that in December 2024, the highest crude oil production was recorded at: Despite these improvements, Nigeria still failed to meet its 1.7 mbpd benchmark for the 2024 national budget and OPEC’s 1.5 mbpd quota. NNPCL Backs Domestic Refining Policy Reacting to the crude allocation policy, NNPC Limited’s Chief Corporate Communications Officer, Mr. Femi Soneye, reaffirmed the government’s commitment to enhancing domestic refining capacity and reducing fuel imports. Under the Petroleum Industry Act (PIA) 2021, oil producers are required to prioritize domestic crude supply before exporting the excess. These measures are designed to: Experts Applaud Move, Call for Effective Implementation Experts have welcomed the ban, urging the government to ensure effective enforcement. Dr. Muda Yusuf, CEO of the Centre for the Promotion of Private Enterprise (CPPE), described it as a bold step that could positively impact the economy. He emphasized the need for strong political will to enforce the directive and prevent sabotage. He also noted that sourcing crude oil domestically will: Similarly, Prof. Wumi Iledare, an expert in Petroleum Economics, and Dr. Bala Zakka, an energy analyst, praised the policy as long overdue. However, they urged the government to ensure that local refineries operate at full capacity and are not forced to purchase crude at fluctuating exchange rates. Global Oil Market Update: Prices Surge to $76.45 Per Barrel Meanwhile, oil prices surged on February 5, 2025, due to concerns over supply disruptions. Brent crude rose 1.03% to $76.45 per barrel, while WTI crude increased 1.88% to $73.89 per barrel. Conclusion The Federal Government’s ban on crude oil exports meant for domestic refineries is a decisive move aimed at improving Nigeria’s refining capacity, reducing fuel imports, and strengthening energy security. However, strict enforcement and increased crude production will be crucial to the policy’s success. READ ALSO: Follow the LMSINT MEDIA channel on WhatsApp: Join Our WhatsApp Group Hear: Chat on WhatsApp Join our Telegram Chanel.
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Discover how Tinubu’s economic reforms are transforming Nigeria’s economy and infrastructure. Governor Sanwo-Olu highlights Lagos’ achievements and plans for 2025. Lagos State Governor, Babajide Sanwo-Olu, has commended President Bola Ahmed Tinubu’s economic reforms, describing them as transformative and capable of redefining Nigeria’s global image. Speaking at the 2025 Annual Thanksgiving Service themed “Harvest of Thanksgiving” held at Tafawa Balewa Square in Lagos, Sanwo-Olu expressed optimism about Nigeria’s economic trajectory. He emphasized that both Lagos and the nation are entering a transformative period following tough but necessary economic reforms in 2024. Positive Impacts of Tinubu’s Reforms Sanwo-Olu acknowledged that while the reforms have caused short-term hardships, they are paving the way for long-term prosperity. The governor highlighted the following outcomes of the reforms: Sanwo-Olu assured Nigerians that the sacrifices made during the reform process would yield substantial benefits. Lagos: A Model for Development Highlighting Lagos State’s achievements in 2024, Sanwo-Olu showcased the state as a development benchmark. Key projects and milestones included: Sanwo-Olu also emphasized Lagos’ cultural and economic growth, fueled by the enthusiastic return of Nigerians from the diaspora. Private Sector Contributions Sanwo-Olu applauded private sector initiatives, particularly: Lagos’ 2025 Agenda Looking ahead, Sanwo-Olu pledged to intensify efforts across key sectors. Highlights of the 2025 agenda include: Vision for Nigeria’s Future Sanwo-Olu concluded with optimism, predicting brighter days ahead for Nigeria under Tinubu’s leadership. He reiterated Lagos’ commitment to setting the pace for the rest of the country and aligning with the President’s Renewed Hope Agenda. “Together, we can build a safer, more secure, and economically stable nation,” he affirmed. READ ALSO: Follow the LMSINT MEDIA channel on WhatsApp: Join Our WhatsApp Group Hear: Chat on WhatsApp Join our Telegram Chanel.
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The Dangote Refinery has joined forces with MRS Oil and Gas to offer petrol at a reduced price of ₦935 per liter at retail outlets across Nigeria. This development stems from a recent reduction in the ex-depot price of petrol from ₦970 to ₦899.50 per liter, as disclosed by Anthony Chiejina, the spokesperson for Dangote Refinery, in Lagos on Saturday. The new pricing, already operational in Lagos, is set to expand nationwide beginning Monday. This follows an earlier adjustment on November 24, when the ex-depot price was lowered from ₦990 to ₦970 per liter. Aliko Dangote, President of Dangote Industries Ltd., credited the positive economic impact of the naira-for-crude swap deal initiated by President Bola Tinubu. He emphasized that the policy has played a significant role in reducing petroleum product prices. “To ensure this price reduction benefits the average Nigerian, we have partnered with MRS to sell petrol at ₦935 per liter nationwide,” Dangote stated. He also called on other oil marketers, including NNPC Retail, to adopt similar measures to help Nigerians access quality petrol at more affordable prices. “The Dangote Refinery is committed to serving Nigerians. By working with various stakeholders, we aim to deliver high-quality petrol that benefits vehicles, health, and wallets alike,” he added. The Federal Executive Council (FEC), under President Bola Tinubu, approved the sale of crude to local refineries in naira and the corresponding purchase of petroleum products in naira. This policy, effective October 1, has eased dollar demand and stabilized the local currency. READ ALSO: Follow the LMSINT MEDIA channel on WhatsApp: Join Our WhatsApp Group Hear: Chat on WhatsApp Join our Telegram Chanel.
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In a groundbreaking step towards regional energy integration, Dangote Refinery, Africa’s largest oil refinery, has partnered with Neptune Oil to deliver its first-ever export of Premium Motor Spirit (PMS) to Cameroon. The Dangote Group highlighted that this milestone reflects a strategic alliance between the two companies aimed at strengthening economic connections between Nigeria and Cameroon while addressing the region’s growing energy needs. Alhaji Aliko Dangote, President and CEO of Dangote Group, remarked, “This initial export to Cameroon embodies our aspiration for a unified and energy-independent Africa. It sets the stage for a future where African resources are refined locally and traded across the continent to benefit our people.” Antoine Ndzengue, Director of Neptune Oil, emphasized the significance of this development for Cameroon. “By becoming the first importer of petroleum products from Dangote Refinery, we are enhancing our country’s energy security and fostering local economic growth. This supply, executed independently without international intermediaries, underscores our dedication to efficient and self-reliant market service.” The collaboration between Dangote Refinery and Neptune Oil extends beyond this initial export. Both organizations are actively working on initiatives to establish a robust supply chain aimed at stabilizing fuel prices and driving economic opportunities across West Africa. Regional Implications:This export underscores Dangote Refinery’s capability to satisfy Nigeria’s domestic energy requirements while positioning itself as a key player in the regional petroleum market. For Cameroon, it signifies improved access to locally refined, high-quality fuel products, marking a new chapter in economic cooperation and energy independence. READ ALSO: Follow the LMSINT MEDIA channel on WhatsApp: Join Our WhatsApp Group Hear: Chat on WhatsApp Join our Telegram Chanel. Tags: Nyesom Wike good govern
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According to information released by Dangote Refinery, the price of its fuel is N960 per liter for ships and N990 per liter for trucks. The declaration comes after the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) and the Independent Petroleum Marketers Association of Nigeria (IPMAN) asserted that they could import petroleum at lower prices than Dangote. The marketers said in a previous interview that they were purchasing fuel from overseas at a lower cost and urged Dangote Refinery to work with stakeholders. The refinery countered that the only products that could be purchased at a cheaper cost than its own were inferior ones. Dangote Refinery said in a statement released Sunday evening by Anthony Chiejina, the Group Chief Branding and Communications Officer, that it lowered its prices for selling onto ships while adhering to the Nigerian National Petroleum Company Limited’s (NNPCL) pricing benchmark. According to the text, “Both organizations assert that they are able to import PMS at a lower cost than what the Dangote Refinery is selling.” We compare our prices to those of other countries, and we think our rates are reasonable when compared to import costs. “Anyone who says they can get PMS for less than what we are selling is bringing in inferior goods and working with foreign dealers to bring in subpar goods without thinking about the health of Nigerians or the durability of their cars. Regulator NMDPRA regrettably lacks even laboratory facilities, which can be used to identify inferior goods that are brought into the nation. By offering PMS to domestic marketers at N971 per litre for sale into ships and N990 for sale into trucks, NNPC set the standard after deregulation. Our pricing was established by this, and we have since lowered it to N960 per litre for sale to ships and N990 per litre for sale to trucks. “We started selling at these rates in good faith and for the sake of the nation, even though we weren’t sure what exchange rate we would use to pay for the oil we bought. Simultaneously, a foreign trading company recently rented a depot facility adjacent to the Dangote Refinery for its purpose. to combine inferior goods that would be sold in order to compete with the superior output of Dangote Refinery. “This is harmful to Nigeria’s local refining industry’s expansion. We should note that nations frequently defend their home sectors in order to create jobs and boost their economies. For instance, in order to safeguard their home sectors, the US and Europe have been forced to slap high tariffs on microchips and EVs. READ ALSO: Atiku outlines the policies he would have implemented differently if he had been president: $10 billion for MSMEs and the progressive elimination of subsidies. We urge the public to ignore the purposeful misinformation being spread by those who would rather that we keep exporting jobs and importing poverty, even as we remain committed to offering reasonably priced, high-quality, domestically processed petroleum products in Nigeria.
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According to Aliko Dangote, chairman of the Dangote Refinery, his facility has enough gasoline on hand to end fuel lines for up to 12 days. Following President Bola Tinubu’s meeting with members of the local currency implementation committee for the sale of crude oil and refined products, which is chaired by Mr. Wale Edun, the Minister of Finance and Coordinating Minister of the Economy, he made this statement in response to inquiries from State House correspondents. According to Dangote, the Lagos refinery can generate more than 30 million liters of gasoline per day, depending on demand from local retailers and the Nigerian National Petroleum Company (NNPC). We currently have 500 million liters in our tanks. This stock can support the nation for more than 12 years even in the absence of imports or production. days. We are more than prepared to increase production as necessary and provide at least 30 million liters per day,” he stated. READ ALSO Fuel lines still exist in Nigeria’s major cities despite these guarantees, which irritates the populace. Dangote clarified that his function as a producer does not include retail when questioned about the disparity between his statements and the situation on the streets. “Retail is not my line of work. You could hold me responsible if I was. The fuel we have on hand has to be picked up by retailers. We have what they require. There won’t be any lines at filling stations if they come and get the fuel. Keeping fuel costs me money every day. within our tanks,” he declared. The businessman was confident that the current shortages would be greatly reduced if stores were prepared to purchase fuel from his refinery. “I see no reason why they wouldn’t come and collect our product for distribution if they have been able to import 55 million liters,” he stated. After what he called a fruitful conversation with President Tinubu about the future of Nigeria’s gasoline supply, Dangote voiced hope. He emphasized the significance of the talks, which focused on using a market-determined exchange rate for petroleum products and crude oil. “You heard the remarks made by the chairman of the committee on petroleum products, crude oil, and naira. After a productive meeting, we decided that NNPC would purchase crude only similar to any other marketer. “This is a big step forward,” he stated. About 300,000 barrels of crude oil have been allotted to Trigo Refining and Petrochemical Company, according to Dangote, for the manufacturing of liquefied petroleum gas (LPG), gasoline, aviation fuel, and other petroleum products. The function of Afrexim as a settlement bank between Dangote and NNPC, which enables more seamless transactions in the crude oil market, was also discussed at the meeting, he said. “This initiative will revitalize a variety of industries, including plastics and aviation,” he said. Dangote admitted that current consumption levels may change due to increased prices, but he nevertheless expressed confidence in the refinery’s ability to supply local demand. As our capacity increases to roughly 420,000 barrels per day, we will have the ability to to completely satisfy the market,” he clarified. Edun previously gave President Tinubu an update on the implementation of a plan to sell crude oil to regional refiners in naira, based on their meeting. “The initiative enables local refiners to buy crude oil and sell their products to the Nigerian public in naira,” he said. Establishing market pricing for petroleum products is what we have accomplished. This puts our economy on the route to industrialization, especially when combined with market pricing for foreign exchange. Edun voiced confidence in Nigeria’s path toward industrial development, even though he acknowledged that there are still obstacles to overcome. “We now see a clear path toward modernizing our economy, even though it’s early days and much work remains,” he said. In the meantime, yesterday the NNPCL raised the Premium Motor Spirit (PMS) pump prices range from N998 to N1,025. The hike, which is effective immediately throughout its whole retail location, amounts to a N27 per liter rise. The most recent increase supports the Daily Sun’s exclusive news from Monday that fuel marketers have agreed to evaluate gasoline price increases once a week. On October 9, 2024, NNPC Retail raised the price of gasoline at the pump from N855 per liter, which was established in September, to N988. The recent spike has angered drivers, who claim the government is making life intolerable for the typical Nigerian. Drivers, primarily commercial bus drivers, claimed in separate interviews with the Daily Sun that the weekly fluctuations in gas prices are reducing their profit margins. The Association of Nigerian In a recent statement, the Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA) expressed alarm about the growing prices of gas at the pump in Lagos and Abuja, cautioning that this might set off a chain reaction of economic hardship throughout the nation. The costs, which have increased to N998 and N1,030 per litre, respectively, are putting strain on households and businesses across the country, according to a statement issued by Mr. Dele Oye, national president of NACCIMA. He cautioned that the price increase may increase the cost of transportation, exacerbate inflation, and have a major impact on small and medium-sized businesses. Oye emphasized that a comprehensive evaluation of the economic effects is necessary, particularly with regard to the costs of goods, services, and transportation. Since fuel prices directly affect transportation costs, this increase will act as a trigger for Concerned about the rising cost of gas in Lagos and Abuja, the Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA) recently issued a statement warning that this might set off a chain reaction of economic suffering throughout the nation. According to a statement issued by Mr. Dele Oye, national president of NACCIMA, the prices, which have increased to N998 and N1,030 per liter, respectively, are putting strain on households and businesses across the country. He cautioned that the price increase might have a major impact on small and medium-sized businesses, increase transportation
