A report from Bloomberg on Tuesday, referencing data from Vortexa, Kpler, Precise Intelligence, a port report, and a ship-tracking platform, revealed that a tanker has transported a shipment of gasoline from the Dangote Petroleum Refinery to the waters off Togo, a neighboring country in West Africa.
The report noted that the vessel CL Jane Austen recently loaded over 300,000 barrels from Dangote and proceeded westward. It is worth mentioning that last month, Mustapha Abdul-Hamid, the chairman of the Ghana National Petroleum Authority, indicated that Ghana is contemplating purchasing petroleum products from the Dangote refinery to mitigate the high costs associated with imports from Europe, which amount to approximately $400 million monthly.
During his address at the OTL Africa Downstream Oil Conference in Lagos, the NPA chairman stated that sourcing fuel from Nigeria instead of Europe would lower the prices of various goods and services by eliminating freight expenses. “If the refinery achieves a capacity of 650,000 barrels per day, that volume cannot be solely consumed by Nigeria. Therefore, instead of our current imports from Rotterdam, it would be far more efficient to import from Nigeria, which I believe will reduce our prices,” Hamid remarked.
Additionally, we reported exclusively two weeks ago that the refinery is preparing to commence fuel exports to South Africa, Angola, and Namibia. Furthermore, negotiations have begun with four other African nations—Niger Republic, Chad, Burkina Faso, and the Central African Republic—regarding fuel supply from the refinery. A highly reliable source confirmed to one of our correspondents that the management of the 650,000 barrels per day capacity refinery is in advanced discussions with these countries to initiate fuel deliveries.
“I can confirm to you that talks are actually at the advanced stage with Ghana, Angola, Namibia, and South Africa, while the initial discussion is coming up with Niger, Chad, Burkina Faso, and the Central African Republic,” the source said.
The report indicated that a shipment of petroleum products is currently adrift off the coast of Lome, a well-known location for ship-to-ship transfers. The final destination of the CL Jane Austen's cargo remains uncertain. Although it is situated near Togo, this area is frequently utilized for such transfers, suggesting that the fuel could be redirected elsewhere.
"While the shipment is relatively small in the context of the global gasoline market, it represents an increase in Dangote's production capacity and the possibility of exporting substantial quantities of gasoline beyond Nigeria, which could disrupt regional markets."
Last month, the refinery successfully dispatched its inaugural seaborne gasoline cargo to Lagos, a nearby commercial center. It is yet to be determined whether significant volumes of Dangote's gasoline production will be exported.
Recently, the Federal Government lifted the monopoly of the state-owned oil company on purchasing fuel from the plant for domestic consumption, while still permitting the importation of fuel from Europe and the United States in accordance with regulatory guidelines. A request for comments from a Dangote spokesperson went unanswered, as noted in the report.