Inefficient Refineries Should Be Phased Out to Boost Energy Efficiency – Dangote Refinery CEO
The Managing Director and Chief Executive Officer of Dangote Petroleum Refinery, David Bird, has called for the gradual shutdown of inefficient refineries worldwide, arguing that the global oil and gas industry is undergoing a structural shift toward cleaner, more efficient energy production systems. He made the remarks in Lagos during the Nigerian Association of Energy Economics conference.
Bird explained that the future of refining is being shaped by stricter environmental standards and advanced fuel specifications such as Euro 5 and Euro 6, which are pushing investors and operators to rethink outdated infrastructure. According to him, the industry is now prioritising technology-driven efficiency and lower emissions across the value chain.
He stressed that while older refineries have historically supported global fuel supply, the next phase of the industry will reward modern facilities and phase out those unable to meet evolving environmental and operational benchmarks. Bird argued that closing inefficient plants would ultimately benefit the planet by improving overall energy efficiency in global refining systems.
Highlighting the Dangote Refinery as a model of modern infrastructure, Bird described it as one of the world’s most advanced and energy-efficient facilities. He noted that the refinery is currently operating at full capacity of 650,000 barrels per day, meeting Nigeria’s domestic demand for petrol, diesel, and jet fuel while exporting surplus products to more than 11 African countries.
His comments are expected to fuel ongoing debate in the global energy sector, especially among operators of ageing refineries facing pressure to upgrade or shut down. The remarks also come amid discussions about Nigeria’s dormant state-owned refineries and plans to expand the Dangote facility to 1.4 million barrels per day within the next three years, as energy transition and fuel pricing debates continue across the country.
source: punch