The Dangote Refinery is set to import crude oil from Brazil, as announced by Aliko Dangote, the Chief Executive Officer, during a briefing in Lagos State on Sunday, July 14, 2024.
The decision follows the Nigerian National Petroleum Corporation’s (NNPC) inability to meet its financial obligations, resulting in a reduction of its stake in the refinery from 20% to 7.2%. Dangote highlighted that the NNPC’s failure to pay the balance of their share, due in June, led to this outcome.
The refinery, valued at $19 billion, will now source crude oil from Brazil to ensure continuous operation and production. This move is part of a strategic effort to maintain the refinery’s output and mitigate the impact of local supply challenges.
READ ALSO: BREAKING: NNPC Now Holds Only 7.2% Stake in Dangote Refinery — Dangote
In September 2021, the NNPC had acquired a 20% interest in Dangote Refinery for $2.76 billion. However, due to recent financial constraints, the NNPC’s stake has been significantly reduced.
This development underscores the ongoing efforts by the Dangote Refinery to secure reliable crude oil sources and maintain its position as a key player in the global energy market.
