Dangote refinery to sell refined crude to Nigeria in naira – Emefiele

The Central Bank of Nigeria (CBN) Governor, Godwin Emefiele, said on Saturday arrangement is being made to enable the Dangote Refinery to sell refined crude to Nigeria in naira when it becomes operational.

Emefiele, who disclosed this during an inspection tour of Dangote Refinery, Petrochemicals Complex Fertiliser Plant and Subsea Gas Pipeline projects in the Ibeju-Lekki area of Lagos, said the first shipment of Urea from the fertiliser plant would begin in March to help boost agriculture in the country.

He added that the project would save Nigeria from expending about 41 percent of its foreign exchange on importation of petroleum products.

Emefiele said: “Based on agreement and discussions with the Nigerian National Petroleum Corporation (NNPC) and the oil companies, the Dangote Refinery can buy its crude in naira, refine it, and produce it for Nigerians’ use in naira.

“We are also very optimistic that by refining this product here in Nigeria, all the costs associated with either demurrage from import and costs associated with freight will be totally eliminated.

READ ALSO: Dangote refinery won’t make petrol significantly cheaper —Nigerian Govt

“This will make the price of our petroleum products cheaper in naira.

“If we are lucky that what the refinery produces is more than we need locally, you will see Nigerian businessmen buying small vessels to take them to our West African neighbours to sell in naira.

“This will increase the value of naira and help to push it into the Economic Community of West African States as a currency.”

The CBN governor expressed optimism that the refinery would be completed by the first quarter of 2022, saying this would end the issue of petrol subsidy in the country.

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