Oil Marketers Back 100% Supply from Dangote Refinery After Initial Opposition
Oil marketers in Nigeria have reversed their earlier position on the supply of petrol from the Dangote Refinery, declaring support for the facility to supply the entire domestic petrol market.
The shift in stance follows ongoing developments in the downstream petroleum sector, where the refinery has significantly increased production and distribution of refined petroleum products across the country.
Industry stakeholders had previously raised concerns about the possibility of a single refinery dominating the fuel supply chain. However, marketers are now backing the refinery’s capacity to meet Nigeria’s petrol demand, citing improved supply stability and growing confidence in local refining.
According to oil marketers, the refinery has demonstrated the capability to supply large volumes of petrol, which could help reduce Nigeria’s long-standing dependence on imported fuel.
They noted that a consistent supply from the facility would strengthen the country’s energy security and ease pressure on foreign exchange used for petroleum imports.
Nigeria has historically relied heavily on imported petrol despite being one of Africa’s largest crude oil producers. The development of the Dangote Refinery is widely seen as a major step toward reversing that trend and achieving self-sufficiency in refined petroleum products.
Stakeholders also said supporting local refining would improve efficiency in the downstream sector, create jobs, and stabilise fuel supply nationwide.
Analysts believe that if the refinery continues operating at optimal capacity, it could meet Nigeria’s daily petrol consumption while also exporting refined products to other African markets.
The refinery, located in Lagos, is considered the largest single-train refinery in Africa and has the capacity to process hundreds of thousands of barrels of crude oil per day.
Industry observers say the renewed support from oil marketers could accelerate the transition toward a locally driven petroleum supply system and reduce the country’s vulnerability to global fuel market fluctuations.
