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Dangote Refinery Considers Cutting Petrol Sales To Marketers Still Importing Fuel

Dangote Refinery may restrict PMS supplies to marketers that continue importing petrol following concerns about alleged blending with its products.

Dangote Petroleum Refinery and Petrochemicals is considering restricting sales of Premium Motor Spirit (PMS) to major marketers that continue to import petrol into Nigeria, amid concerns over product quality, market transparency and the integrity of products associated with its brand.


The proposed measure could take effect as early as this week, subject to further consultations and any last-minute intervention, according to sources familiar with the refinery’s position.


The development reflects growing concerns within the refinery over continued petrol imports into a market where substantial domestic refining capacity is now available.


Sources familiar with the matter said the immediate concern centres on allegations that some marketers are blending imported PMS with products purchased from Dangote Refinery before distributing the resulting fuel to the market.


The refinery is concerned that the practice could make it difficult for consumers to distinguish between products supplied directly by Dangote and those subsequently blended or otherwise handled by third parties.


“It is difficult to understand why we would invest heavily in producing high-quality petroleum products for Nigerians, only for those products to be mixed with imported products of uncertain quality and the resulting product to be associated with the refinery,” a source familiar with the refinery’s position said.


The refinery has also raised concerns about what it described as the absence of adequate standard laboratory and quality-control infrastructure by the regulator for imported petroleum products, particularly facilities capable of independently verifying and certifying the specifications of products entering the Nigerian market.


The concerns come as Nigeria’s downstream petroleum sector undergoes a transition from longstanding dependence on imported refined products towards increased domestic refining.


With a capacity of 700,000 barrels per day, Dangote Petroleum Refinery has emerged as a major supplier of refined petroleum products to both Nigerian and international markets.


The refinery says its products meet internationally recognised quality specifications.
The United States Energy Information Administration recently identified the Dangote refinery as a major factor behind the sharp increase in Nigeria’s seaborne petroleum product exports.


According to the figures cited, Nigeria’s seaborne petroleum product shipments averaged 561,000 barrels per day in the second quarter of 2026, compared with an annual average of 79,000 barrels per day in 2023.


Dangote Refinery has also expanded its presence in international jet fuel markets, including the United States and Europe.
Its jet fuel has emerged as a significant component of supplies to Europe, with the refinery becoming the continent’s largest external supplier for consecutive months, surpassing traditional exporters from the United States and the Middle East.


The proposed restriction on petrol sales to marketers that continue importing PMS has yet to take effect and remains subject to consultations.

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