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Home»Oil & Gas

Dangote Alleges Substandard Petroleum Imports Amidst Regulatory Scrutiny

Editor FrancisBy Editor FrancisJuly 21, 2024 Oil & Gas No Comments2 Mins Read
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Aliko Dangote, President of the Dangote Group, has raised alarms over the importation of substandard petroleum products into Nigeria.

During a visit from the House of Representatives leadership, including Speaker Tajudeen Abbas and Deputy Speaker Benjamin Kalu, to the Dangote Refinery on Saturday, Dangote called for an investigation into the quality of imported petroleum products being sold to Nigerians.

Dangote suggested that the inferior quality of some imported petroleum products could be the result of sabotage within the oil sector or an attempt to undermine his business. He emphasised the need for independent testing at filling stations to verify the quality of these products.

Refuting claims made by Farouk Ahmed, CEO of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), that products from the Dangote Refinery were substandard, Dangote presented evidence of his refinery’s superior product quality. Tests conducted at the refinery’s laboratories using the ASTM D4294 method indicated that the sulphur content of his diesel was significantly lower than that of imported products.





Dangote revealed that diesel from his refinery initially had a sulphur content of 600-650 parts per million (ppm) but has since improved to 87 ppm, with an expectation to reduce it to 50 ppm by Monday. In contrast, diesel samples from two filling stations showed sulphur contents of 1,800 ppm and 2,600 ppm, respectively.

“We’re at 87 ppm today, and by next week, we should be at 50 ppm. By August, it should be down to 10 ppm,” Dangote stated, urging the regulator to verify these results independently.

Dangote also questioned the testing methods and quality of the laboratories used by the NMDPRA, proposing an investigation into the issue. He expressed openness to independent testing of his refinery’s products to validate their quality.

Addressing accusations of monopoly, Dangote denied receiving special incentives for the refinery’s construction. He also announced that the Dangote Group would abandon plans to enter Nigeria’s steel industry to avoid monopoly accusations and the encouragement of raw material imports, urging other Nigerians to invest in the sector instead.

Speaker Abbas, acknowledging the contradictory claims from the public and private sectors, called for a thorough investigation. “We need to investigate further to find out if there are ulterior motives,” he said.

The House of Representatives is expected to launch an inquiry into the matter to resolve these conflicting claims and ensure the quality of petroleum products in Nigeria.

#Dangote Refinery
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