Refinery says import licences approved in November exceeded local demand, denies supply dispute with marketers
The Dangote Petroleum Refinery has attributed the surge in petrol imports recorded in November 2025 to licensing decisions taken by the former leadership of the Nigerian Midstream and Downstream Petroleum Regulatory Commission (NMDPRA), rather than any breakdown in supply arrangements with petroleum marketers.
Reports had suggested that petrol imports spiked during the period due to a pricing dispute between marketers and the refinery, allegedly leading to a collapse of supply agreements. However, the refinery has dismissed those claims.
In a statement issued on Friday, Anthony Chiejina, spokesperson for the Dangote Refinery, said no supply agreement with marketers had failed and insisted that the refinery’s operations were not responsible for the excess imports.
According to the refinery, the import spike coincided with import licences approved by the previous NMDPRA leadership, which authorised volumes that exceeded prevailing domestic demand.
“The increase in imports had nothing to do with our production capacity or supply commitments,” the statement said, adding that the licensing decisions “sanctioned volumes beyond market requirements at the time.”
Supply Volumes Increased With Market Demand
The refinery explained that its entry into the downstream market was deliberately structured to respond to demand growth while improving access, competition, and operational efficiency.
It disclosed that petrol supply to marketers began in October 2025 with an agreed offtake of 600 million litres, which rose to 900 million litres in November and further expanded to 1.5 billion litres in December.
According to the refinery, these increases were driven strictly by market growth and absorption capacity, not by any supply dispute.
Following market liberalisation, Dangote Refinery said petrol sales were opened to all qualified marketers, bulk consumers, and filling station operators.
Daily Dispatch Hits Up to 48 Million Litres
The refinery revealed that since December 16, 2025, it has consistently dispatched between 31 million and 48 million litres of petrol daily from its gantry, depending on market demand.
It added that these figures are fully verifiable through depot and loading records maintained under regulatory oversight.
To improve access and distribution efficiency, the refinery said it introduced measures such as reducing the minimum purchase requirement from two million litres to 250,000 litres, as well as offering a 10-day credit facility backed by bank guarantees.
Pricing Claims Rejected
Dangote Refinery also rejected claims that marketers withdrew due to pricing concerns, insisting that its ex-gantry prices remain competitive, market-based, aligned with import-parity benchmarks, and fully compliant with regulatory and quality standards.
IPMAN Backs Dangote, Opposes Imports
Meanwhile, the Independent Petroleum Marketers Association of Nigeria (IPMAN) has also opposed the continued importation of petrol, rejecting claims that the November import surge was caused by a breakdown in supply arrangements with the refinery.
IPMAN’s National President, Abubakar Garima, said reports linking the import increase to disputes between marketers and Dangote Refinery do not reflect the experience of its members.
“Since supply commenced, marketers have continued to lift products without complaints,” Garima said.
He added that IPMAN strongly opposes continued fuel importation, stressing that the Dangote Refinery has the capacity to meet Nigeria’s entire PMS demand.
“Our members are satisfied with the reliability of supply and welcome the refinery’s commitment to delivering products directly to filling stations,” he said.
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