Dangote Refinery Reassures Nigerians Of Steady Local Fuel Supply Amid Global Crisis

Dangote Refinery reassures Nigerians of steady local fuel supply amid global crisis Dangote Petroleum Refinery and Petrochemicals has reassured Nigerians that it is prioritising the domestic market to cushion the country from the effects of global energy disruptions. The company said its strategy is aimed at stabilising Nigeria’s fuel supply despite rising uncertainty in international oil markets caused by geopolitical tensions and refinery shutdowns in some parts of the world. In a statement released on Thursday, the refinery said it would ensure Nigeria remains protected from potential supply shocks by focusing on meeting local demand first. According to the company, domestic refining is one of the major advantages of having large-scale refining capacity within the country, as it allows Nigeria to maintain fuel availability even when global markets are unstable. The refinery stressed that it remains committed to serving as a stabilising force in Nigeria’s energy sector at a time when international supply chains are experiencing disruptions. Global energy markets have recently faced increased volatility due to the ongoing geopolitical crisis in the Middle East, which has affected refinery operations and fuel exports in some regions.

These disruptions have contributed to rising crude oil prices and concerns about possible shortages of refined petroleum products worldwide. However, the Dangote refinery said its operations are designed to shield Nigeria from these shocks by ensuring that locally refined products are available for domestic consumption. The refinery also confirmed that it had implemented an adjustment of about ₦100 per litre in the ex-depot price of Premium Motor Spirit (petrol), representing roughly a 12% increase. It explained that the decision was driven by higher crude oil costs and global market pressures, though the company said it had absorbed about 20% of the cost increase in order to cushion consumers.The refinery added that it continues to source crude oil at prevailing international prices, whether purchased locally or from foreign suppliers.

Despite its commitment to domestic supply, the refinery disclosed that it is currently receiving about five crude cargoes per month from the Nigerian National Petroleum Company Limited, far below the 13 cargoes required to maintain full production capacity. This shortfall has forced the refinery to import additional crude oil from international markets, often at higher costs. Located in the Lekki Free Trade Zone in Lagos, the Dangote Refinery is the largest single-train refinery in the world with a planned capacity of about 650,000 barrels of crude oil per day. Industry analysts say the facility has the potential to significantly reduce Nigeria’s dependence on imported fuel and strengthen the country’s energy security.

Officials at the refinery say prioritising local supply will help stabilise the domestic fuel market and protect Nigerians from the worst effects of global oil market disruptions.