NNPC personnel, oil traders have blending plant where dirty fuel is processed – Dangote

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Dangote Industries Limited President, Aliko Dangote, has alleged that some staff of Nigerian National Petroleum Company (NNPC) Limited, oil traders, and terminals have opened a blending plant in Malta.

He spoke at the House of Representatives on Monday.

An oil blending plant has no refining capability but can blend re-refined oil (a used motor oil that has been treated to remove dirt, fuel, and water) with additives to create finished lubricant products.

The billionaire said the areas of the blending plants are known.

His words: “Some of the terminals, some of the NNPC people, and some traders have opened a blending plant somewhere off Malta,”

“We all know these areas. We know what they are doing.”

Addressing the drop in diesel prices, the billionaire said the diesel produced locally at 650 parts per million (ppm) and 700 ppm is of better quality than imported fuel.

Dangote said many vehicle issues can be traced back to the “substandard” imported fuel.

He urged the leadership of the House of Representatives to set up an independent committee to verify the quality of petrol available at filling stations.

“I want you to set up a committee that will come with every representative headed by your chosen honourable member to come and lead in taking samples from filling stations because I must tell you today that all the test certificates that people are busy floating around, where are the labs? Even if they have the labs, I can tell you they are fake certificates

“The real one that you now know that they are right is to take from the filling station and also come and take from our production line. Now, you will be able to tell Nigerians that this is it.”

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On Monday, the House of Representatives Joint Committee on Petroleum Resources (Downstream and Midstream) launched a probe into claims that local refineries, including the Dangote Petroleum Refinery, produce inferior products.

The committee is also investigating the allegations that the international oil companies (IOCs) in Nigeria are frustrating the survival of the Dangote refinery.

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) and Dangote refinery have been embroiled in a dispute that began recently.

On July 18, Farouk Ahmed, the chief executive officer of NMDPRA had said local refineries, including the Dangote refinery, were producing inferior products compared to the ones imported into the country.

The oil regulator also accused Dangote of monopoly, claims which have been denied by the billionaire.

On Monday, Heineken Lokpobiri, minister of state petroleum resources (oil), intervened in the ‘ongoing issues’ after having a meeting with Aliko Dangote, chairman and chief executive officer (CEO) of Dangote Group, and Farouk Ahmed, CEO of Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

Gbenga Komolafe, CEO of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), and Mele Kyari, group CEO of the Nigerian National Petroleum Corporation (NNPC) Limited were also at the meeting.

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