Stakeholders express optimism as Dangote Refinery set to introduce affordable fuel prices to the Nigerian market

The US$20 billion Lagos-based Dangote Refinery is set to begin supplying Premium Motor Spirit (petrol), marking a major shift for Nigeria as it reduces its dependence on imported fuel.

Starting on Sunday, over 300 trucks from the Nigerian National Petroleum Company Limited (NNPCL) will be loaded with petrol from the refinery.

Aliko Dangote, Founder and Chairman of The Dangote Group, announced on September 3, 2024, that the refinery’s petrol rollout is officially underway.

Following successful negotiations, the Minister of Finance, Wale Edun, confirmed that all agreements between the Federal Government and Dangote Refinery for the offtake of petrol by NNPCL are in place.

As part of the deal, NNPCL will provide the refinery with around 385,000 barrels of crude oil per day starting on October 1, 2024.

This development is expected to improve fuel availability in Nigeria, according to Abubakar Maigandi, President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), and represents a significant move towards the country’s fuel self-sufficiency.

Later this year, Dangote Refinery also plans to supply affordable fuel to the West African sub-region.