Modular refineries in Nigeria have echoed the concerns raised by Africa’s richest man, Aliko Dangote, regarding the powerful cartels obstructing the domestic refining of crude oil.
Operators, represented by the Crude Oil Refinery Owners Association of Nigeria (CORAN), highlighted the detrimental impact of these cartels, calling for President Tinubu’s intervention.
Eche Idoko, Publicity Secretary of CORAN, emphasized that these mafias have held the country hostage, crippling the economy by restricting domestic petroleum supply.
This, in turn, has contributed to rising inflation, particularly in food prices, due to high petroleum product costs.
Dangote recently revealed that both local and international mafias have made numerous attempts to sabotage his $19 billion refinery project. He noted that these entities were stronger than drug cartels, attempting to push the project into default during the COVID-19 pandemic.
The association stressed the importance of in-country refining for stabilizing the economy and reducing dependency on imported petroleum products.
They also raised concerns about the lack of crude oil supply guarantees for modular refineries, which has stalled financing for these projects.
CORAN urged the Nigerian government to adopt policies promoting self-sufficiency in domestic refining and address the issues of crude oil supply guarantees for modular refineries.
They also called for President Tinubu to clarify his administration’s stance on the matter and ensure consistent crude oil supply to domestic refiners to reduce reliance on imports.
