Despite having the capacity to load 83% of its products by road, Dangote Refinery has said it is planning to transport about 75% of its local petroleum product supply via sea routes, targeting key locations like Warri, Port Harcourt, and Calabar.
Speaking with Arise News as the refinery began distributing Premium Motor Spirit (PMS) on Sunday, Devakumar Edwin, Vice President of (oil & Gas) at Dangote Industries Limited, noted that the aim of the shift to sea transportation is reduce the higher costs associated with road distribution.
Edwin said, “We have both exporting facilities by sea and by road. 75% of the production can be evacuated through sea. In fact, now we are ramping up to make it even 100%.
“Anything going to Calabar, Port Harcourt, Warri, Apapa, Atlas can all be taken through the sea. So only what is imminently required by road can be taken.
“But I also have the facility to load 83% of my production also through road. We have just built-in flexibility but we can avoid all traffic congestion on the road by evacuating through sea and it will also bring down the cost of transhipment,” Edwin explained.
Edwin further noted that it is possible for most products destined for central Nigeria to be shipped from Port Harcourt and Warri, while those from the East and Northeast can be transported from Calabar.
This shift to sea transport, he explained, will drastically bring down costs, and advantageously, lower prices for consumers.
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