KUALA LUMPUR, July 30 (Bernama) -- Bursa Malaysia's key index closed at an intraday high today, supported by continued buying interest even as renewed geopolitical tensions and a weaker overnight lead from Wall Street following the US Federal Reserve's (Fed) decision to stand pat on interest rates weighed on broader sentiment. The Fed has decided to hold rates steady for the fifth consecutive meeting, with the Federal Funds Rate unchanged between 3.50 per cent and 3.75 per cent. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 4.84 points to 1,720.40 from yesterday’s close of 1,715.56. The benchmark index, which opened 1.14 points lower at 1,714.42, hit its lowest level of 1,710.69 in early trade before gaining momentum for the rest of the day. However, the broader market was negative with losers outpacing gainers 581 to 411, while 612 counters were unchanged, 1,173 untraded, and 87 suspended. Turnover declined to 2.49 billion units valued at RM2.25 billion from ...
Africa's largest oil refinery, the Dangote Oil Refinery near Lagos, Nigeria, is on the verge of producing significant volumes of gasoline, a development that could reshape the global fuel market. The facility, owned by Dangote Industries Ltd., is set to produce substantial amounts of road fuel, with the plant's initial output expected to start by the end of the week.
Key Points:
Production Capacity and Impact: The Dangote refinery, when fully operational, will have the capacity to process 650,000 barrels of crude oil per day, with more than half of that amount converted into gasoline. This could account for around 1% of global gasoline demand, which stands at about 27 million barrels per day. Initial production levels are forecasted at 90,000 barrels per day in the fourth quarter, rising to nearly 250,000 barrels per day in the second half of 2025.
Strategic Importance for Nigeria: The refinery's ramp-up comes at a critical time for Nigeria, whose state oil company has faced challenges in supplying gasoline due to indebtedness and rising prices. The start of production at Dangote's facility could reduce Nigeria's reliance on imported fuel, which currently amounts to nearly 250,000 barrels per day, mostly sourced from Europe.
Key Infrastructure and Future Expansion: The refinery's gasoline output relies on a reformer unit, which produces blendstock for road fuel. This unit has started operating, and gasoline production is expected to begin imminently. To further increase output, a residue fluid catalytic cracker is essential, with Energy Aspects Ltd. forecasting gradual production increases over the next year.
Outlook and Global Implications:
The Dangote refinery's gasoline production is expected to influence billions of dollars in fuel trade both regionally and globally. With the refinery set to ramp up, it could significantly alter the dynamics of fuel supply and demand in Africa and beyond. Despite the initial volumes being below full capacity, the ongoing expansion positions the refinery as a key player in the global energy market.
Comments
Post a Comment