The Dangote Petroleum Refinery and Petrochemicals said it has commenced direct delivery of aviation fuel to Ethiopian Airlines amid the tightness caused by the US-Iran crisis.
Managing Director of Dangote Refinery, David Bird, said the company has begun supplying jet fuel, diesel, and petrol to international customers, extending its operations beyond Nigeria.
Bird who spoke at the NAEE conference in Lagos, where he addressed issues around fuel supply, refining capacity and export strategy, said the refinery is now producing enough to meet domestic demand, with surplus volumes being exported to African and global markets. Since the Middle East crisis started on 28 February, the refinery has shipped fuels to 11 African countries.
He explained that the export push is being driven by excess production capacity, noting that the refinery is currently operating at full capacity after completing maintenance earlier in the year.
Speaking on jet fuel availability and the high prices, he said the refinery is contributing to supply stability at a time when several markets are experiencing shortages, stressing that supply challenges are not limited to Nigeria.
Bird blamed the high cost of aviation fuel on the rising oil prices, which were $112 per barrel as of Wednesday morning.
“Right now, there is a scarcity of product. And what is worse than 100 or 120 dollar oil is no oil at all. That is being faced by both developed and developing import-dependent countries. Whether that’s Australia, wholly reliant on imports, or developing countries like Bangladesh, Sri Lanka, or the Philippines,” Bird stated.
He, however, maintained that Nigeria currently has sufficient supply, attributing this to domestic refining capacity.
