Oil marketers in Nigeria have disclosed that petrol supply is currently being sourced largely from the Dangote Petroleum Refinery, with claims that importation of the product has significantly reduced or stopped altogether.
According to industry stakeholders, the domestic supply chain has remained stable in recent weeks, as marketers increasingly rely on locally refined petrol from the Lagos-based refinery. This development comes amid ongoing debates over whether Nigeria’s local refining capacity is sufficient to fully meet national fuel demand.
Marketers Report Stable Supply
Speaking in an interview, the National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Ukadike, said independent marketers are experiencing no shortages and are benefiting from recent price reductions.
Ukadike stated that petrol availability has remained steady, even during peak demand periods such as the festive season, adding that supplies are being obtained directly from Dangote Refinery.
According to him, the improved supply has eased concerns over scarcity and reduced the need for importation. He noted that Dangote Refinery has opened direct access to independent marketers, improving distribution efficiency and reducing delays.
Previous Import Concerns
There had been earlier reports suggesting a breakdown in supply arrangements between Dangote Refinery and major petroleum marketers, which allegedly led to increased petrol imports in November 2025. The arrangement, which reportedly involved the offtake of about 600 million litres of petrol monthly, was said to have faced pricing challenges.
Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) showed that petrol imports rose sharply in November 2025 compared to October of the same year.
However, Dangote Refinery later dismissed claims that the increase in imports was linked to a supply breakdown, describing such reports as inaccurate. The company explained that its engagement with marketers was structured to improve competition, access, and efficiency in the downstream market.
Independent marketers also distanced themselves from claims that the rise in imports was due to a collapse in supply agreements, maintaining that local supply has improved significantly since Dangote Refinery began large-scale distribution.
Direct Supply to Independent Marketers
Ukadike further explained that independent marketers are now purchasing petrol directly from the refinery, bypassing the traditional multi-layer distribution system. He added that the refinery has reduced the minimum purchase volume, allowing smaller marketers to pool resources and access products more easily.
He expressed optimism that prices would continue to decline as operations stabilise, noting that local refining reduces logistics and transportation costs.
Mixed Views on Importation
Despite the optimism, some marketers hold a different view. Retail oil marketer Edwin Ogah acknowledged that while local refining has improved supply, petrol importation is still ongoing.
According to Ogah, imported petrol is primarily used to build reserve stocks and prevent shortages, rather than to flood the market. He argued that domestic refining capacity has not yet reached the scale required to fully replace imports nationwide.
Ogah noted that challenges such as foreign exchange availability, port congestion, pipeline security, and transportation costs still affect fuel distribution. He added that marketers with access to foreign exchange and credit facilities would continue to import petrol to maintain steady supply, particularly during high-demand periods.
Dangote Refinery Maintains Full Capacity
In a recent statement, Dangote Petroleum Refinery dismissed reports suggesting it was shutting down for maintenance, reaffirming that it continues to operate at full capacity. The refinery said it supplies over 50 million litres of petrol daily and remains a stabilising force in Nigeria’s fuel market.
The 650,000 barrels-per-day facility also confirmed its readiness to meet domestic demand, pledging to supply up to 1.5 billion litres of petrol monthly from December 2025.
