- TotalEnergies secured its first supply agreement with Nigeria’s Dangote Refinery, announced at the Africa CEO Forum in Kigali
- Dangote Refinery, producing 650,000 barrels per day, aims to reduce Nigeria’s fuel imports and meet African demand and export needs
TotalEnergies, the French energy giant, has secured its first supply agreement with Nigeria’s Dangote Refinery. Chief Executive Patrick Pouyanne announced the deal after meeting with Aliko Dangote, Africa’s richest man, at the Africa CEO Forum in Kigali, Rwanda.
Pouyanne shared, “We met this morning and made our first deal together.” He added that the agreement was reached after discussions involving CEOs and TotalEnergies’ head of trading.
Dangote has been seeking crude supplies for his 650,000 barrels per day (bpd) refinery, set to be the largest in Africa and Europe once fully operational. In May, Dangote Refinery issued a tender for two million barrels of West Texas Intermediate (WTI) Midland crude per month for a year starting in July, according to a Reuters report.
The refinery, which began production in January, cost $20 billion to build. Dangote aims to reduce Nigeria’s dependence on imported fuel and other refined products despite the country being Africa’s largest oil producer.
Dangote stated that the refinery has sufficient gasoline, diesel, and aviation fuel to meet African demand and export to Brazil. “We started producing jet fuel and diesel, and by next month, we’ll be producing gasoline. This will enable us to process most African crudes,” he said.
He added, “Our capacity exceeds Nigeria’s needs. We can supply West, Central, and Southern Africa.” The next phase of the refinery project will commence early next year.
TotalEnergies is among the leading crude producers in Nigeria, alongside Shell, Exxon, and Chevron.