chaloskyx:
The UK currently has seven refineries. They are all located near port facilities to ease crude tanker access.

Canada is home to 15 refineries, all of which are operated by Canadian Fuels members and represent the country's refining capacity.

The Company's Refining Unit operates 13 major refineries in the Russian Federation:


There are six refineries in the country - four on the coast and two inland. Crude oil is refined at South Africa's four crude oil refineries.

NIGERIA WHAT DO YOU WANT TO DO WITH 70 REFINERIES OOOOOOOOOOOOOOOOOO!!!!!!!!!!!!!!!!!!!!!!!!!!!

Number of refineries licensed are determined by consumption and the capacities of the refineries involved. Also non of countries you mentioned is as populated as Nigeria that means Nigeria oil consumption might be higher. Those who licensed them are very wise they know that building of refinery is a big task, no wonder only 4 could deliver out of 70

mrvitalis:

U have not done business before trust me ..power has nothing to do with business...runing diesel engine is way cheaper than NEPA

With the ban in BDC and Forex trading how many times have police raided aboki still selling dollers ? Would it be the same if it was Igbo dominated business ?

Use and Hausa name to import a goods and use and Igbo name to import the same goods then tell me if u would pay same clearing fee

Try to import through northern border and then try same goods in southern border tell me the difference

Go to bank of industrial with and Igbo name then go to same bank with Hausa name then come back ..same with nafdac ,son ,

Carry goods to the east as an Hausa man then do same as an Igbo man

Come back then let's talk

None functioning of eastern ports is what

All the road federal linking ABA to south south cites are bad ...

I can go on and on

You know so much about business yet also claim diesel is WAY cheaper than NEPA? With this sort of opening argument, is it really worth going beyond the opening sentences of what you just wrote? Obviously NO!

But permit me to restate my point, every bottleneck faced by an Igbo man is also faced by all others across Nigeria.

alphaNomega:
Nigerian politicians. You can't build your refinery without them being involved

How will you established a company without the authority, it is normal that politicians are involved because you will need series of approvals

obailala:


You know so much about business yet also claim diesel is WAY cheaper than NEPA? With this sort of opening argument, is it really worth going beyond the opening sentences of what you just wrote? Obviously NO!

But permit me to restate my point, every bottleneck faced by an Igbo man is also faced by all others across Nigeria.

Igbos and sense of victimization are 5 and 6. No matter the chance you give them, if they have not taken over everything it means they are marginalized.

Lori iro!More like $10m bros.

okeysoninv:
lazy Nigerian industrialists, modular refinery with capacity 1000bpd cost less than 100k dollars to set up.

chaloskyx:
The UK currently has seven refineries. They are all located near port facilities to ease crude tanker access.

Canada is home to 15 refineries, all of which are operated by Canadian Fuels members and represent the country's refining capacity.

The Company's Refining Unit operates 13 major refineries in the Russian Federation:


There are six refineries in the country - four on the coast and two inland. Crude oil is refined at South Africa's four crude oil refineries.

NIGERIA WHAT DO YOU WANT TO DO WITH 70 REFINERIES OOOOOOOOOOOOOOOOOO!!!!!!!!!!!!!!!!!!!!!!!!!!!

1.The UK has no subsidy in place on petrol, plus petrol costs the equivalent of N650 and above there. As a result, the refinereis have the profit to upgrade, expand, and do a lot.

2.Canada sells fuel at N400 and above per liter, and has a subsidy for the poorest of the poor, not for everyone. And yes, their petrol industry has the profits to build refineres and so forth.

3.Nigeria has fuel refined in bad refinereis in Europe for over N200 per liter, and sells the same fuel at N162 per liter. And we destroyed our government refinereis in part (sabotage and corruption did the rest) by forcing them to sell at a loss, and paying a subsidy that did not cover their losses. And your APC government voted to continue the same loss making game because politics.

So, who is going to invest in a refinery where he or she would make a loss, because fuel has to be 'cheap' for the masses? And where subsidy won't cover their loss?

(Dangote has the means to pay back the loan he took to build his refinery, which is why he can build it and why the banks gave him loans to do so)

obailala:


You know so much about business yet also claim diesel is WAY cheaper than NEPA? With this sort of opening argument, is it really worth going beyond the opening sentences of what you just wrote? Obviously NO!

But permit me to restate my point, every bottleneck faced by an Igbo man is also faced by all others across Nigeria.

My factory is not , had never and would never be connected to NEPA ...yet power is less than 5% of my production cost ...spend roughly 15k a week on diesel ...with prepaid meter I would spend 30k minimum a week

leave alibaba , to build that is about 80 to 250 million usd

okeysoninv:
you can search it in Alibaba. No argument here

zigzagluv:
leave alibaba , to build that is about 80 to 250 million usd

nigeria quotation lolz. Even Russia company are willing to send it at that price. Nigeria is ant when it comes to oil industry.

tonyashburton:
Lori iro!More like $10m bros.

education is free bros

backbencher:
Simple reason why...subsidy

It costs at least N200, at most N300 to refine one liter of fuel the standard way, if not higher....and most Nigerians and Buhari want that fuel to retail at N162.5 (Sorry, Buhari wants the fuel to sell at N40 per liter)

Only hardy souls and someone like Dangote, who has the finances and assets to use as collateral to take a loan(, and the banks willing to give him the loan because they know they will get their money back las las)....build refineries.

No investor is going to refine fuel at , say, N250 or N300 a liter and sell at the mythical N40 or the actual N162, and lose N90 per liter...plus the subsidy they pay to cover that loss, it won't cover the loss.

That's why most of the investors don't want to start work. No profit, no means of recouping their investment because 'subsidy' means they would lose money well well.

You are not making sense.The Nigerian government will buy at the prevailing market rate and sell it at the subsidized price you are talking about

Biodun556:


Igbos and sense of victimization are 5 and 6. No matter the chance you give them, if they have not taken over everything it means they are marginalized.

Those license were mostly given to the Igbos during OBJ tenure.The condition was they will be given oil importation quotas as they were expected to plough back the profit into construction of the refineries, something which they never did.Prefering to flex around with the cash, today they are here blaming the government for favouring dangote that was honest with his license

okeysoninv:
there is a report that dangote won't be in operation till 2026. The man debt is pilling up astronomically.

the refinery is completed and is being rest run.I heard it on BBC's focus on Africa this evening

Biodun556:
To those talking about monopoly, who stops them from building their own refinery?

They did not stop them from building their own, they are just not interested in any refinery and hey did not collect the license to build refinery, they obtained the license to import finished refined products aka petrol subsidies. They are more interested in subsidy scam because the same license allow them to do so and this is the reason why Dangote said only people with real refinery on the ground should be allowed to participate in any such activities.

The FG should have terminated the licenses, if you don't have a refinery and you are not building any refinery, give up your license.

mrvitalis:

Are u aware moduler refineries are ineffective and there fore can never make profit ? Most can't even produce patrol...just diesel ...

Refinery like aviation is a very difficult industries to make profit from ...and the Nigeria downstream sector is to violatile for any investor to risk

Let subsidy be removed ...Igbos would observe for a few years then we come in ...

we are hated too much in this country to take useless risk ...they would make laws that would favour dangote for him to succeed ...boom we would benefit from those laws

Empty ranting. Traders are always afraid of manufacturing; trading is only rendering Nation vulnerable to stagnant growth. Is it not shameful that u still can't see light in this news and still accusing Govt or Dangote of non-existing bias?
Many of ur people received licence and billions of Nairal loan from CBN under GEJ feigning to build modular refineries, where are they today?
You also play victim card when in reality ur attitude is very dirty, hate filled with no aorta of sense to realise how mad u are abt ur actions.
If illegal refineries can fetch money then why not modular?

Lubumbashi:
Later they will accuse Dangote of being a monopolist. They used their own licenses to borrow billions from banks and ran away with the money while Dangote is jejely building his own. God bless Dangote Refineries, God bless Nigeria.

I just laugh at ur small brain

chaloskyx:
The UK currently has seven refineries. They are all located near port facilities to ease crude tanker access.

Canada is home to 15 refineries, all of which are operated by Canadian Fuels members and represent the country's refining capacity.

The Company's Refining Unit operates 13 major refineries in the Russian Federation:


There are six refineries in the country - four on the coast and two inland. Crude oil is refined at South Africa's four crude oil refineries.

NIGERIA WHAT DO YOU WANT TO DO WITH 70 REFINERIES OOOOOOOOOOOOOOOOOO!!!!!!!!!!!!!!!!!!!!!!!!!!!

Texas,a state in the US,have 27 working refineries!

Not nigeria quotation , oag if you want information , i will send you

okeysoninv:
nigeria quotation lolz. Even Russia company are willing to send it at that price. Nigeria is ant when it comes to oil industry.

chaloskyx:
The UK currently has seven refineries. They are all located near port facilities to ease crude tanker access.

Canada is home to 15 refineries, all of which are operated by Canadian Fuels members and represent the country's refining capacity.

The Company's Refining Unit operates 13 major refineries in the Russian Federation:


There are six refineries in the country - four on the coast and two inland. Crude oil is refined at South Africa's four crude oil refineries.

NIGERIA WHAT DO YOU WANT TO DO WITH 70 REFINERIES OOOOOOOOOOOOOOOOOO!!!!!!!!!!!!!!!!!!!!!!!!!!!

Arrant nonsense.

openmine:

Texas,a state in the US,have 27 working refineries!

Oga, some US states are in the league of countries. Texas is almost as big as the whole Nigeria in land area and much bigger in economy.

Texas Land area - 695,662 km²
Texas GDP - $2.0 trillion (2021)

Nigeria Land Area- 923,768 km²
GDP 432.3 billion USD (2020)

Elporo:


Arrant nonsense.

Feelings79:
You are not making sense.The Nigerian government will buy at the prevailing market rate and sell it at the subsidized price you are talking about

That is the problem....the government cannot afford to buy petrol at 'prevailing market rate' plus, that's not how they run the subsidy anyway.

Your comment assumes that the downstream sector 'is run by government'...which it isn't...it is run by private companies.

For now, government refines fuel abroad (In very awful refineries to save money) and sells the same fuel at a supposedly subsidized price(lower than N162.5) to the marketers however rising costs of production means government cannot afford to keep the price THAT low forever...meaning marketers have to buy fuel at a higher price than the N162.5 and sell it at that price...meaning marketers sell at a loss....meaning that they can't afford costs...meaning NNPC has to ask for more money for subsiding fuel (N3 trillion this year) or NNPC has to allow marketers raise prices again...to make some sort of 'profit'.

And even at that, subsidy is funded by the same crude oil revenue that funds 'everything'...said crude oil is not generating enough revenue either...meanwhile costs of subsidy rises always due to rising costs of production...so the subsidy won't be enough to cover NNPC's losses....meaning price increases or palaver.

Once refinereis are domestic....assuming NNPC buys from Dangote at his price of say N300 per liter, and sells to marketers at N163, that's a loss of N137 per liter....A point would be reached where NNPC can no longer afford the losses it makes subsiding fuel, and government can no longer afford to pay them extra money to be able to meet their needs from Dangote...because of falling crude oil prices...or because revenues are being eaten into deeply by other needs ..so either NNPC sells to marketers at N350 per liter to make enough of a profit to buy from Dangote, or NNPC collapses.

Or goverment orders Dangote to sell at a price of N200 per liter the petrol it cost him 300 per liter to make to cut their govt subsidy costs, meaning goverment can now afford to pay NNPc 50 Naira to make NNPc sell below 162 naira to marketers so that marketers lose money.

Either way, dangote loses money, as does any domestic refineries.

Biodun556:
To those talking about monopoly, who stops them from building their own refinery?

leave them let them continue to run thier mouth,Dangote is where he is today because of hard work and smart thinking,goverment patronage or not,he has paid his dues.whoever is jealous of him should read about how he started his business.he did not just wake up one morning and became the beautiful bride of the government.

okeysoninv:
sorry it's less than 100k USD.. dangote is a greedy mofo.

you are obviously as poor as a church rat.because rich people or rich minded people dont reason the way you do.

Elporo:


Arrant nonsense.

Nigerian government have four refinaries,instead of refining crude oil with them,they convert it to money syphoning machines.if the four refinaries were working to full capacity we would not have the need for too many other ones.

zigzagluv:
Not nigeria quotation , oag if you want information , i will send you

likewise if you want information I will give you

Feelings79:
the refinery is completed and is being rest run.I heard it on BBC's focus on Africa this evening

story for the gods.

udomonday:
you are obviously as poor as a church rat.because rich people or rich minded people dont reason the way you do.

no wonder Nigeria is not industrialized when the citizens thinking faculty is shallow.

ghm:

Oga, some US states are in the league of countries. Texas is almost as big as the whole Nigeria in land area and much bigger in economy.

Texas Land area - 695,662 km²
Texas GDP - $2.0 trillion (2021)

Nigeria Land Area- 923,768 km²
GDP 432.3 billion USD (2020)

We need more refineries to not only cater for our ever growing consumer base which will create a competitive business environment but also create jobs for Nigerians!

JosephXavier:
A refinery should be cited in Anambra

Orient refinery has the ability to build a 200,000 refinery if [s]Federal government can give it the licence to operate[/s]

Think b4 u type..
They are not serious... DPR will always give lisense to anyone to wants to build a refinery... Orient petroleum hasn't even started building. Your talking about license to operate..

Stop making it sound like Govt is practicing favouritism in supporting refinery operations

backbencher:


That is the problem....the government cannot afford to buy petrol at 'prevailing market rate' plus, that's not how they run the subsidy anyway.

Your comment assumes that the downstream sector 'is run by government'...which it isn't...it is run by private companies.

For now, government refines fuel abroad (In very awful refineries to save money) and sells the same fuel at a supposedly subsidized price(lower than N162.5) to the marketers however rising costs of production means government cannot afford to keep the price THAT low forever...meaning marketers have to buy fuel at a higher price than the N162.5 and sell it at that price...meaning marketers sell at a loss....meaning that they can't afford costs...meaning NNPC has to ask for more money for subsiding fuel (N3 trillion this year) or NNPC has to allow marketers raise prices again...to make some sort of 'profit'.

And even at that, subsidy is funded by the same crude oil revenue that funds 'everything'...said crude oil is not generating enough revenue either...meanwhile costs of subsidy rises always due to rising costs of production...so the subsidy won't be enough to cover NNPC's losses....meaning price increases or palaver.

Once refinereis are domestic....assuming NNPC buys from Dangote at his price of say N300 per liter, and sells to marketers at N163, that's a loss of N137 per liter....A point would be reached where NNPC can no longer afford the losses it makes subsiding fuel, and government can no longer afford to pay them extra money to be able to meet their needs from Dangote...because of falling crude oil prices...or because revenues are being eaten into deeply by other needs ..so either NNPC sells to marketers at N350 per liter to make enough of a profit to buy from Dangote, or NNPC collapses.

Or goverment orders Dangote to sell at a price of N200 per liter the petrol it cost him 300 per liter to make to cut their govt subsidy costs, meaning goverment can now afford to pay NNPc 50 Naira to make NNPc sell below 162 naira to marketers so that marketers lose money.

Either way, dangote loses money, as does any domestic refineries.

I was somewhat understanding some of your points until I reached the part where you said government will "order" dangote to sell at a price determined by the government.I can't remember the last time government made such an order.moreso, it's a free market economy with dangote being at liberty to sell anywhere else and at prices profitable to it.Mind you the refinery was funded by loans from banks and other multilateral agencies.13 billion dollars no be beans bro,there must have been enough feasibility studies.It's dangote we are talking about here, the most successful industrialist on the continent.l do remember same fears were expressed when he decided to diversify from trading to manufacturing, with many arguing how unviable manufacturing would be in Nigeria.He took the dive/risk, emerging as the most richest man in the black skin