A Review of the Nigerian Energy Industry

Nigeria turns to Nigerien marketers for fuel imports

16 July 2012, Sweetcrude, KATSINA – Nigeria  has begun to import refined diesel fuel from Niger, its northern neighbour, oil market traders and truck drivers said on Monday.

Fuel (gas) stations in the northern city of Katsina on the border with Niger stock diesel imported from Niger’s Soraz refinery in Zinder, 80 kilometres (50 miles) from the border with Nigeria.

“We have imported 90 trucks of diesel from Niger in the past four months in three batches of 30 trucks each, Lawal Dahiru Mangal, a fuel market trader in Katsina said.

“We secured import licence from the (Nigerian) government for the importation of diesel from the Soraz refinery in Niger which we supply fuel stations in Katsina and neighbouring towns”, said Mangal of MD Mangal petroleum company.

Nigeria, world’s eighth largest oil producer, relies on fuel imports from some foreign countries to meet domestic demands as its four refineries, with a combined installed capacity of 445,000 barrels per day, are underperforming.

They have been grounded for years due largely to corruption and mismanagement.

It produces about 2.2 million barrels of crude per day which it exports and imports refined fuel.

Niger-refined diesel is cheaper than the one Nigeria imports from other countries, Mangal said.

A litre of Niger-imported diesel sells at 160 naira (one dollar) in Katsina compared to 170 naira it sells in other parts of the country.

“We source diesel from Mangal petroleum which imports its consignment from Niger,” Abddullahi Maikaita, a fuel attendant at a filling station in Katsina said.

In 2000 Nigeria removed its subsidy on diesel.

Last November, Niger opened its first refinery in Zinder following the discovery of oil in Agadem, 700 kilometres east of its capital Niamey with a daily production capacity of 20,000 bpd.
This story was obtained from AFP.

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  • This development signposts the level of government’s inability to utilise Nigeria’s abundant hydrocarbon resources to service the fuel consumptions needs of the citizenry.

  • This confirms what I have been saying over the years that Nigerian leaders choose to distroy the downstream sector, nay our economy. The same government that is busy closing down the so called “illegal refineries” in Niger Delta is also allowing importation of same products being refined in the Niger Republic. I have been informed that those products in Niger Delta are superior in quality than the imported ones. Nigerian Government said 20,000 capacity daily production is not profitable. Yet Niger is now exporting to Nigeria from their 20,000 barrel cruede oil capacity daily production! Who is fooling who?