HOSTCOM Tours Dangote Refinery, Calls for Local Refining and End to Importation of Refined Products
The National President of HOSTCOM, Dr. Benjamin Tamaramiebi, along with his executives and traditional rulers from the Niger Delta region, recently toured the Dangote Petroleum Refinery & Petrochemicals and the Dangote Fertiliser Limited complex. The delegation included notable traditional leaders such as HRM Frank Okorakpo, Chairman of the Niger Delta Monarchs Forum; HRM Obafemi Ogaro, Deputy Chairman of the Traditional Rulers of Oil Mineral Producing Communities of Nigeria (TROMPCON); and HRM (Capt) Frank Okiakpe, Egbesuwei Gbanraun X Agadagba Pere.
Following the tour, Dr. Tamaramiebi highlighted significant concerns about the corruption within Nigeria’s oil and gas industry. He contrasted the efficiency and transparency of the privately-run Dangote Refinery with the dysfunctional state of the federal refineries in Port Harcourt, Warri, and Kaduna. He attributed the failure of these refineries to a corrupt cabal within and outside the government, warning that if these issues persist, HOSTCOM will publicly reveal the individuals responsible.
Dr. Tamaramiebi emphasized the urgent need for Nigeria to refine its crude oil domestically. HOSTCOM urged the Federal Government to support the Dangote Petroleum Refinery & Petrochemicals and other domestic refineries to reduce the country’s dependency on imported petrol, diesel, and other refined products.
The HOSTCOM president also called for nationwide support for the Dangote Refinery and modular refineries, warning against any sabotage that could hinder Nigeria’s progress toward self-sufficiency in refined products. He expressed gratitude to the National Assembly and supportive Nigerians, pledging HOSTCOM’s support for the Dangote Refinery to end the importation of low-quality and costly refined petroleum products.
Reiterating the aspiration for Nigeria to refine its own crude oil, HOSTCOM warned that any opposition to this national goal would face public backlash. The group criticized Farouk Ahmed, the Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), for his stance on continuing refined product imports. They called on President Bola Ahmed Tinubu to replace Ahmed, citing conflicts of interest from his previous associations with downstream companies.
“We unequivocally call for the immediate sack of Farouk Ahmed. It is now clear that he, as the CEO of NMDPRA, is responsible for issuing import licenses to his cronies outside the government to continue to import sub-standard refined petroleum products into the country. This is not surprising given that he has served on the boards of some downstream companies in the past. He is therefore obviously conflicted and incapable of performing the duties of a regulator for the downstream sector. It is important to immediately replace him with an individual who is not encumbered by such conflict,” the group stated.
The group praised Aliko Dangote, President of Dangote Industries Limited, for his patriotic investment in constructing the refinery in Nigeria. They noted that this venture significantly contributes to the country’s economic growth and development by reducing reliance on imported refined petroleum products.
HOSTCOM called on President Tinubu to support the Dangote Refinery project, emphasizing its potential to enhance the economy, create thousands of jobs, ensure product sustainability and affordability, and benefit host communities.
“We call on President Bola Tinubu to support and sustain this refinery, which is in his own state. He must do away with the cabals holding the oil sector to ransom,” the group added.
They also urged the President to address the economic sabotage by International Oil Companies (IOCs) refusing to sell crude oil to the Dangote Refinery and other modular refineries. HOSTCOM condemned this as an affront to the Nigerian people and a deliberate attempt to undermine the President’s agenda to revive the economy.
“We call on Mr. President to direct NNPC or NNPCL to compel the IOCs operating in our communities to sell and supply crude oil to Dangote Refinery and other local refineries in line with Section 109 of the Petroleum Industry Act (PIA) 2021, particularly Section 109(4)(b), which states that ‘the supply of crude oil shall be commercially negotiated between the lessee and the crude oil refining licensee, having regard to the prevailing international market price for similar grades of crude oil,’” HOSTCOM stated.
Despite the PIA, the group noted ongoing exploitation by IOCs and a lack of transparency and accountability. They warned that failure to supply crude oil to domestic refineries would force host communities to take decisive action.
Devakumar Edwin, Vice President (Oil & Gas) at Dangote Industries Limited, hosted the delegates and explained that the refinery was established to source and refine local crudes for Nigeria’s benefit while also exporting excess production to boost the economy. Edwin noted that insufficient Nigerian crude supplies have necessitated importing crude from other countries. The refinery’s design to process various crudes, including African, Middle Eastern, and US Light Tight Oil, ensures its continued operation despite local supply challenges.
This visit and the strong statements from HOSTCOM highlight the ongoing struggle for transparency and efficiency in Nigeria’s oil and gas sector and the critical role of domestic refining in achieving national economic goals.
