DANGOTE ACCUSES INTERNATIONAL OIL COMPANIES FOR DELIBERATELY WORKING AGAINST THE SUCCESS OF HIS REFINERY

Edwin disclosed that International Oil Companies (IOCs) are impeding the refinery’s efforts to obtain local crude oil by inflating prices artificially.

This forces the refinery to import crude from far-off countries like the United States, raising production costs. Edwin made these revelations during a Dangote Group-hosted training programme for Energy Editors.

Devakumar Edwin, Vice President of Oil and Gas at Dangote Industries Limited (DIL), claims that International Oil Companies (IOCs) in Nigeria are actively working against the success of the Dangote Oil Refinery and Petrochemicals project by purposefully undermining it.

Edwin disclosed that International Oil Companies (IOCs) are impeding the refinery’s efforts to obtain local crude oil by inflating prices artificially.

This forces the refinery to import crude from far-off countries like the United States, raising production costs. Edwin made these revelations during a Dangote
Group-hosted training
programme for Energy Editors.

Recall that the NUPRC recently met with Nigerian refinery owners and producers of crude oil in an effort to fully enforce the Domestic Crude Oil Supply Obligations (DCSO), which are outlined in section 109(2) of the Petroleum Industry Act (PIA).

It appears that the IOCs want to make sure our petroleum refinery doesn’t succeed. Either they are stating that crude is not available, or they are purposefully asking for an absurdly high premium. We eventually spent $6 more
than the going rate.

Edwin was cited as saying, “This has forced us to reduce out output as well as import crude from countries as far as the US, increasing our cost of production.”

In a recent CNN interview, Aliko Dangote, the chairman of the Dangote Group, disclosed that foreign oil corporations in Nigeria are refusing to supply crude oil to his refinery because they would rather export it for foreign cash.