Dangote Refinery Disputes Marketers’ Claims, Asserts Full Capacity to Supply Nigeria’s Fuel Needs

The Dangote Petroleum Refinery has dismissed assertions by oil marketers that it cannot meet Nigeria’s domestic fuel demand. Refinery insiders stated that the plant produces sufficient fuel for local consumption and export.

Founder Aliko Dangote recently accused a “cabal” of major marketers and traders of undermining the refinery to protect their import businesses. However, Olufemi Adewole of DAPPMAN refuted the cabal claim, acknowledging only vested interests among depot owners who have invested billions to ensure fuel availability.

Adewole argued that despite the refinery’s 650,000-barrel capacity, it has not met even the current reduced local demand, with private depot owners filling the gap. He referenced the NMDPRA chief’s statement that the refinery is not meeting local consumption volumes.

A senior Dangote refinery official, speaking off the record, said the refinery exports millions of litres daily after supplying the local market and questioned the basis for marketers’ doubts. The official also claimed that local consumption data have been distorted over time, particularly during subsidy periods.

Another refinery source supported President Tinubu’s import ban on locally producible goods as vital for economic growth but warned that importers would resist the “Nigeria First Policy.”

Adewole accused Dangote of monopolistic intentions, citing recent price cuts that have forced marketers to absorb losses. Dangote sources countered that some importers prioritize profits over Nigerians’ welfare and engaged in round-tripping during subsidies.

A refinery consultant challenged marketers to reveal the refinery’s actual fuel stock before making capacity claims.

Dangote stated the refinery is close to full capacity and that Nigeria consumes only 40% of its output, with 60% exported to Africa. Vice President Davakumar Edwin detailed daily production figures: 57 million litres of petrol, 20 million litres of jet fuel, and 37 million litres of diesel, exceeding local demand.

Storage capacity data indicate the refinery can supply the country for weeks. Dangote stressed the refinery will expose true fuel consumption, combating smuggling and false documentation.

NMDPRA data show petrol imports dropped from 44.6 million litres daily in August 2024 to 14.7 million litres in April 2025, though consumption figures remain disputed.

Dangote accused entrenched interests of resisting subsidy removal and refinery operation but remains confident in victory, calling it a lifelong battle.