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Dangote Refinery’s Real Benefit Lies in Capturing By-products Locally, Says Financial Expert

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Financial analyst and educator Kalu Aja has highlighted that the most significant advantage of the Dangote Refinery is its ability to capture by-products locally that were previously left abroad, which could increase Nigeria’s foreign exchange earnings.

 

In a post on his X handle on Wednesday, Aja described the Dangote Refinery as a major milestone for Nigeria, comparable only to the emergence of Nigeria Liquefied Natural Gas (NLNG). He noted that while the refinery would save the country transportation costs in dollars previously spent on bringing crude oil from abroad, other associated costs like insurance and interest remain.

 

Aja further explained that Nigerians should not expect a significant drop in the cost of Premium Motor Spirit (PMS) unless the government decides to subsidize crude oil and the dollar exchange rate.

 

Breaking down the process of refining PMS from crude oil, Aja mentioned that the costs of extracting crude oil, refining it, and marketing PMS are the same whether the refinery is in Lagos or abroad. However, the real savings come from transporting crude oil to Lagos instead of abroad, and the local capture of by-products, which can be exported to earn more foreign exchange.

 

“The real benefit Dangote Refinery brings is that those associated by-products that we left in ‘Malta’ will now be captured by Dangote locally. Thus, Nigeria will earn MORE by exporting those by-products, so net net, the Dangote Refinery earns Nigeria more FX,” Aja wrote.

 

He emphasized that while the refinery is a significant development, it will not drastically reduce the PMS bill unless there are government interventions in subsidies.

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Politics

APC Chieftain Hails Tinubu for Sacking Three Resident Electoral Commissioners

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By Gbenga Adeniyi

Hon. Olatunbosun Oyintiloye, a chieftain of the All Progressives Congress (APC), in Osun State, has commended President Bola Tinubu for seeking Senate approval to dismiss three suspended Resident Electoral Commissioners (RECs), over alleged misconduct in the 2023 general elections.

Speaking to journalists in Osogbo on Sunday, Oyintiloye described the sack of Ike Uzochukwu (Abia), Hudu Yunusa-Ari (Adamawa), and Nura Ali (Sokoto) as a crucial step in sanitizing Nigeria’s electoral system.

He also praised the Senate for approving Tinubu’s request, emphasizing that it reinforces accountability and serves as a warning against electoral malpractice.

The former lawmaker lauded the Independent National Electoral Commission (INEC), for initially suspending the RECs in March 2023 and for securing the conviction of Prof. Ignatius Udok for electoral fraud.

He urged Tinubu to sustain the fight against corruption, noting that these actions restore public confidence in the electoral process.

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Abuja Reports

Laolu Akande to Host Public Interest Communications Seminar in Abuja

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By Ifeoluwa Odunayo 

Laolu Akande, former media aide to ex-Vice President Yemi Osinbajo, has announced a Public Interest Communications Seminar aimed at enhancing professional communication skills.

The hybrid event, scheduled for February 25, 2025, will take place in Abuja and online, starting at 11 a.m.

It targets entry- and mid-level professionals in corporate affairs, public relations, media relations, customer service, journalism, and public speaking.

Akande made the announcement via his official X (formerly Twitter) handle.

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NAFDAC Destroys Fake Drugs, Expired Foods Worth ₦4.7bn in Port Harcourt

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By Alexis Uchendu 

The National Agency for Food and Drug Administration and Control (NAFDAC), has destroyed counterfeit drugs, unsafe cosmetics, and expired food products worth ₦4.7 billion in Port Harcourt, Rivers State.

This action, carried out in collaboration with the Nigerian Customs Service, was part of the agency’s first joint zonal exercise targeting substandard goods across the South-South region.

Represented by South-South Zonal Director Chukwuma Olugbo, NAFDAC’s Director-General, Prof. Christiana Adeyeye, revealed that intelligence operations led to the discovery of warehouses filled with expired alcoholic beverages, which had been illegally revalidated for re-entry into the market.

The operation, which took place in July 2024, also resulted in the seizure of substandard medical products, unregistered cosmetics, and imported vegetable oils lacking Vitamin A fortification, particularly in Delta State.

NAFDAC reiterated its commitment to safeguarding public health by eliminating harmful and fake products from circulation.

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