Dangote Refinery Moves To Restrict Fuel Sales To Importing Marketers

The Dangote Petroleum Refinery and Petrochemicals is considering restricting the sale of Premium Motor Spirit (PMS) to major petroleum marketers that continue to import petrol into Nigeria.

The proposed move, which could take effect as early as this week, is subject to further consultations and possible intervention by relevant stakeholders.

The refinery’s position is reportedly driven by concerns over product quality, market transparency and the integrity of petroleum products sold under the Dangote brand.

Sources familiar with the matter said the refinery was particularly concerned that some marketers may be blending imported PMS of questionable quality with products purchased from Dangote Refinery before distributing them to consumers.

According to the sources, such practices could make it difficult to distinguish between products supplied directly by the refinery and those subsequently blended or handled by third parties.

The refinery also expressed concern over the adequacy of quality-control infrastructure for imported petroleum products, including the capacity of regulators to independently verify and certify the specifications of petrol entering the Nigerian market.

The development comes as Nigeria’s downstream petroleum sector continues to shift from heavy reliance on imported refined products towards increased domestic production.

With a refining capacity of 700,000 barrels per day, Dangote Refinery has become a major supplier of refined petroleum products to the Nigerian and international markets.

The United States Energy Information Administration recently identified the refinery as a major contributor to the increase in Nigeria’s seaborne petroleum product exports.

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.

The refinery’s jet fuel has also gained significant international acceptance, with its products reportedly supplying markets in Europe and the United States.

The latest development follows concerns raised by Dangote Refinery over a 43.3 per cent increase in petrol imports, which the company attributed to import licence approvals by the Nigerian Midstream and Downstream Petroleum Regulatory Authority.

If implemented, the proposed restriction could further reshape competition between domestic refiners and fuel importers in Nigeria’s downstream petroleum market.

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