The planned rollout of 4,000 compressed natural gas (CNG)-powered trucks at the Dangote Petroleum Refinery has hit a major setback, with Chinese logistics delays shrinking the fleet to only 450 so far.
Instead of the full consignment, the refinery has received less than one-eighth of its order.
The initial target of 600 will be surpassed next week when another 150 trucks are expected to arrive, a top Dangote Group official told Punch.
The official explained that a shortage of shipping vessels capable of carrying the trucks from China to Nigeria is the main cause of the disruption.
“There are not enough ships coming from China to handle 4,000 trucks and 4,000 tankers,” he said. “200 arrived in the first ship. Another 250 have been offloaded now. We are expecting 150 on the vessel next week.”
The delay comes after reports that the rollout was scheduled to begin on August 15, 2025. Earlier this month, the refinery confirmed that it had started receiving deliveries.
“The first consignment of trucks recently departed Apapa Port and was formally received at the refinery site in Ibeju-Lekki by the Vice-President of Oil and Gas at Dangote Industries Ltd, Devakumar Edwin,” the company said in an August 10 statement.
It added that the fleet, imported through Apapa Port, represents a capital investment of about ₦720 billion.
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Just last week, the Dangote Group held talks with key stakeholders, including the National Association of Road Transport Owners (NARTO) and the Natural Oil and Gas Suppliers Association of Nigeria, to ease fears that the project could disrupt Nigeria’s fuel distribution network and threaten jobs.
At the meeting, the company outlined measures to safeguard the roles of marketers and tanker drivers, aiming to reduce concerns of large-scale displacement.
Despite the logistical setback, the refinery remains committed to its June plan to deploy 4,000 CNG trucks across Nigeria.
The initiative is designed to cut gasoline distribution costs by about ₦1.7 trillion annually while improving supply chain efficiency.
Operating at around 85% of its 650,000 barrels-per-day refining capacity, the Dangote refinery views the CNG-powered fleet as a cheaper and cleaner alternative to diesel trucks, with potential savings of up to 40% on distribution costs.
By shifting to CNG-powered logistics, the refinery hopes to curb fuel delivery price volatility, lower reliance on diesel tankers, and reduce carbon emissions, marking what it describes as a significant milestone for Nigeria’s downstream sector.
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Image Credit: Business Insider Africa
