Nigeria's Dangote Refinery has achieved a significant milestone by exporting its first jet fuel cargo to Europe, marking a pivotal moment in the global energy market and highlighting the rapid operational expansion of the facility. According to S&P Global Commodity Insights, British Petroleum (BP) is currently transporting 45,000 metric tons of jet fuel from Dangote Refinery to Rotterdam aboard the Doric Breeze.
This export represents the refinery's debut in the European market following a substantial 120,000 mt tender. The shipment, which loaded from Lekki on May 27, underscores the refinery’s rapid production scale-up and compliance with European jet A1 standards, potentially shifting West African trade flows.
Sources confirmed that the Doric Breeze marked the inaugural BP cargo, with Spanish refiner Cepsa also securing part of the tender for imminent delivery to the continent. Dangote has exported six jet fuel/kerosene cargoes since April 8, primarily to Senegal, Togo, and Ghana. BP is expected to continue supplying jet fuel to the West African market from the refinery.
European traders have cautioned that the influx of fresh jet fuel could exacerbate existing market weaknesses, with Nigerian supply adding to a saturated market. Platts assessments indicated that CIF Northwest European jet fuel cargoes fetched a premium of $52/mt to the front-month ICE LSGO contract on May 29, down from previous levels.
The refinery's export portfolio is set to evolve as it pursues ambitious timelines for further unit ramp-ups. To date, Dangote has exported naphtha, fuel oil, and gasoil to Europe, Africa, and Asia. Naphtha exports may soon be curtailed to prepare for gasoline production once the plant’s fluid catalytic cracker becomes operational. Dangote projects its first gasoline supplies to begin in June, with ultra-low sulfur diesel production eligible for export to Europe by the third quarter.
Analysts forecast that gasoline supply from the refinery will begin no earlier than Q3 2024, with steady-state utilization expected around 2027. In steady-state, the refinery is anticipated to yield 9% jet fuel, making Nigeria a net jet fuel exporter by late 2024.
Additionally, the $20 billion Dangote Oil Refinery is set to be listed on the Nigerian Stock Exchange by December 2024, according to Aliko Dangote, Chairman of Dangote Group. This development underscores the refinery's significant impact on both domestic and international energy markets.
One thought on “Dangote Refinery Exports First Jet Fuel Cargo to Europe”