The management of Dangote Petroleum Refinery has rejected claims made by oil marketers that the refinery cannot meet Nigeria’s local fuel demand. Officials of the refinery told our correspondent that they have enough products not only to supply the Nigerian market but also to export to other countries.
This reaction follows comments by the refinery’s founder, Aliko Dangote, who recently accused a group of powerful players in the downstream oil sector of working against the success of the $20 billion refinery. Dangote said these groups include some major marketers and fuel traders who previously benefited from government-subsidised fuel imports and are now uncomfortable with the refinery’s growing influence.
But the Executive Secretary of the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), Olufemi Adewole, dismissed Dangote’s accusation. He said there was no “cabal” in the sector. However, he admitted that there are vested interests—particularly from private depot owners who have spent billions of naira to keep fuel flowing in the country over the years.
According to Adewole, despite the refinery’s massive capacity of 650,000 barrels per day, it is yet to meet the country’s current fuel demand. He said private depot operators are still handling the larger share of fuel distribution across Nigeria. He referenced a recent presentation by Farouk Ahmed, the Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), saying the Dangote Refinery was not yet producing enough to match even reduced consumption levels.
However, a senior official of the Dangote Refinery, who asked not to be named, disagreed with this claim. He said the refinery produces more than enough fuel to meet Nigeria’s needs and is also exporting millions of litres daily. He questioned how marketers arrived at the conclusion that the refinery’s output is insufficient.
He also raised concerns about the credibility of Nigeria’s fuel consumption data, claiming that it had been manipulated in the past, especially during the subsidy regime. He said the refinery’s operations would eventually reveal the true daily consumption figure.
Another official from the refinery praised President Bola Ahmed Tinubu’s policy of stopping the importation of products that can be produced locally. He said this was the only way to build the Nigerian economy, but added that some importers were fighting hard to frustrate the initiative.
DAPPMAN had earlier accused the refinery of trying to create a monopoly by slashing prices, sometimes after cargoes had already left the gantry. Adewole said this move left marketers with losses they had to quietly absorb just to remain in business.
In response, a Dangote official said many of these marketers were only interested in profit and had previously engaged in round-tripping during the fuel subsidy era. He argued that they were not concerned about the welfare of ordinary Nigerians.
A consultant to the refinery challenged DAPPMAN, the Independent Petroleum Marketers Association of Nigeria (IPMAN), and the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) to state how they determined the refinery’s stock levels before claiming it could not meet demand.
Aliko Dangote, during a recent tour of the refinery in Lekki, Lagos, said the facility is on track to reach its full production capacity. He said Nigeria does not consume up to half of the refinery’s output. According to him, only about 40% of the refinery’s production is used locally, while 60% is exported to other African countries.
Dangote Vice President, Davakumar Edwin, shared more details, revealing that the refinery can produce up to 104 million litres of fuel per day—comprising 57 million litres of petrol, 20 million litres of jet fuel, and 37 million litres of diesel. He said Nigeria only consumes about 46 million litres daily, leaving a significant surplus for export.
Edwin also said that, as of February, the refinery supplied 33 million litres of petrol daily for local use, alongside 10 million litres of diesel and 3 million litres of aviation fuel. Storage facilities at the refinery include 12 tanks for 600 million litres of petrol (enough for 18 days), 17 tanks for 408 million litres of aviation fuel (136 days), and 14 tanks for 340 million litres of diesel (34 days). There are also 20 tanks holding 2.4 billion litres of crude oil for 20 days. In total, the refinery has 177 tanks with a capacity of over 4.7 billion litres.
Dangote added that the facility would help reveal the true petrol consumption figures by tracking every loaded truck and ship. This, he said, would expose long-standing irregularities in the fuel distribution system.
According to Farouk Ahmed, the CEO of NMDPRA, petrol importation dropped from 44.6 million litres per day in August 2024 to 14.7 million litres by April 13, 2025. However, another official of the agency, Ogbugo Ukoha, said Nigeria still consumes around 50 million litres daily, with less than half coming from local refineries. This suggests that daily fuel importation is closer to 25 million litres, contradicting the earlier figure.
Aliko Dangote remains firm that some powerful individuals who have long benefitted from the old system are sponsoring resistance against the refinery and government reforms. He said the battle is ongoing but expressed confidence that he would eventually win.
DAPPMAN insisted there are no cabals but acknowledged that stakeholders are defending their investments and pushing back against any form of monopoly in the sector.
