Dangote Petroleum Refinery & Petrochemicals has finalised a structured offtake agreement with major marketers that obligates it to supply up to 65 million litres of Premium Motor Spirit (PMS) daily for Nigeria’s domestic consumption, marking a decisive operational transition from Nigeria’s historical dependence on imported fuel to full local refining self-sufficiency.
The arrangement was confirmed by Aliko Dangote, President of the Dangote Group, in Lagos following a significant ramp-up of production at the refinery that now exceeds the country’s average daily petrol demand of 50 to 60 million litres.
Don’t Miss This: Dangote Refinery shares open to Nigerians in 5 months
Under the new distribution framework, endorsed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Dangote Refinery will deliver petrol nationwide through a network of established marketing companies including MRS Oil Nigeria Plc, Nigerian National Petroleum Company Limited Retail, 11 Plc (formerly Mobil), TotalEnergies Marketing Nigeria Plc, Rainoil, Northwest Petroleum & Gas, Ardova Plc, Bovas & Company, AA Rano Nigeria, AYM Shafa Limited, Conoil and Masters Energy.
This controlled distribution model is designed to stem recurrent supply disruptions that have historically triggered fuel scarcity and speculative pricing.
The refinery’s output now positions Nigeria to meet its own petrol needs consistently, while producing an estimated 15–20 million litres in surplus for export to neighbouring markets seeking refined products, offering a pathway to strengthen the nation’s trade balance and conserve foreign exchange previously spent on fuel imports.
Analysts say the shift could ease pressure on the naira and bolster external reserves.
Don’t Miss This: Dangote Refinery shares open to Nigerians in 5 months
Nigeria During a facility visit, the Group Chief Executive Officer of NNPC Limited, Bayo Bashir Ojulari, described the refinery as a transformative national asset whose performance has surpassed original design expectations.
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Executives reported live production metrics at around 661,000 barrels per day exceeding the plant’s 650,000-barrel capacity demonstrating operational effectiveness in meeting domestic requirements and generating exportable volumes.
Source: Punch.ng
