Published September 24,2024
By Chinwendu Eugene
The Organisation of Petroleum Exporting Countries, OPEC, has said the take-off of Nigeria’s Dangote refinery in Nigeria and Dos Bocas refinery in Mexico would affect plants in the United States of America, USA, and Europe.
Hitherto, the two countries in addition to other African countries, were the major markets for premium motor spirit (PMS), also known as petrol refined in USA and Europe.
Kukuruku Radio’s findings show that the Dos Bocas refinery can process about 340,000 barrels per day (bpd), thus making Mexico self-sufficient in refined petroleum products.
Dangote Oil Refinery can process 650,000 bpd, showing capacity to meet demands across Nigeria and West African markets.
In its latest 2024 World Oil Outlook 2050, OPEC, stated: “New mega-projects are poised to alter the international downstream market. For instance, the start-up of the Dangote refinery in Nigeria and the upcoming commercial start of the Dos Bocas refinery in Mexico could significantly affect the gasoline market in the Atlantic basin.
“Although both regions import significant volumes of gasoline from the international market, this could change when these two refineries reach full operation. This in turn could negatively affect refineries in the US and especially Europe, as gasoline markets in these regions are stagnating.”
The report, however, stated that the downstream market and related trade dynamics are still strongly influenced by geopolitics, adding: “The EU embargo on Russian crude and product exports has altered interregional oil flows, with EU refiners increasing crude oil imports from regions such as the US and Middle East.
