Nigeria’s 650,000 barrel-per-day Dangote refinery has taken its gasoline-producing unit offline due to catalyst leaks and other technical problems, with repairs expected to last at least two weeks, according to two sources familiar with the matter.
Industry tracker IIR Energy reported on Tuesday that the refinery’s 204,000 bpd Residue Fluidised Catalytic Cracking Unit (RFCCU) has been shut since around August 29. The sources, who spoke on condition of anonymity, confirmed the outage but declined to provide further details.
Dangote has not yet commented on the development.
Since commencing operations last year, the massive facility has rapidly expanded output, reshaping global oil and fuel trade flows. Its first gasoline exports to the United States are scheduled to arrive in New York later this month, data from ship tracking firm Kpler shows.
The refinery, however, has faced repeated operational setbacks. In May, Reuters reported that the RFCCU was already expected to run at reduced capacity through October following earlier technical difficulties.
The current outage is tightening gasoline supply in the Atlantic Basin, boosting margins for U.S. refiners despite the seasonal slowdown after Labor Day. Market sources said the disruption has contributed to recent price gains.
On Wednesday, U.S. gasoline futures crack spreads the margin between gasoline and crude oil prices rose nearly 3% to their highest level since August 19, after surging more than 8% on Tuesday.
