Dangote Refinery Saves Nigeria N10bn Yearly as Fuel Imports Drop Sharply
- The Dangote Refinery is saving Nigeria over N10 billion annually in foreign exchange by replacing fuel imports with locally refined products
- The company reiterated plans to expand production capacity to 1.4 million, with growing global interest in the refinery’s jet fuel and other outputs
- Spokesman for the company, Sunday Esan, emphasised the media’s role in accurately reporting developments in the energy sector
Legit.ng journalist Victor Enengedi has over a decade's experience covering Energy, MSMEs, Technology, Banking and the Economy.
The Senior General Manager of Corporate Communications at Dangote Industries Ltd., Sunday Esan, has revealed that the Dangote Refinery is saving Nigeria more than N10 billion each year in foreign exchange by substituting imported fuel with locally refined products.
He made this known in Lagos during the 2025 Media Week of the Nigeria Union of Journalists (NUJ), Lagos State Council.
Source: Getty Images
The programme, themed “Unlocking Opportunities for Businesses in a Challenging Economy: The Role of the Media / Roadmaps to Energy Security in Nigeria,” provided a platform to examine how the refinery is reshaping the nation’s energy landscape.
Dangote Refinery’s impact on Nigeria’s economy
Esan described the refinery as more than just a national asset, noting that it is reducing pressure on foreign exchange, contributing to GDP expansion, creating employment opportunities, enhancing Nigeria’s position as a regional energy hub, and boosting domestic energy security.
According to him, nearly two years after operations commenced, the facility has sharply lowered the country’s reliance on imported petroleum products.
He explained that the refinery’s contributions include cutting the volume of petrol and diesel imports, supporting the stability of the naira, generating thousands of jobs, and reinforcing the nation’s energy supply chain.
Esan highlighted new data showing a 1.54% reduction in fuel imports in the first quarter of 2025. He noted that while Nigeria spent $2.6 billion on fuel imports in Q1 2024, that figure dropped to $1.2 billion during the same period in 2025.
He said:
“Dangote Refinery has saved Nigeria over N10 billion annually in foreign exchange by replacing imports with local production. It has significantly curtailed oil imports and created measurable economic impact.”
Plans for expansion and global interest
Esan also disclosed that the company is reviewing plans to ramp up production from its current 650,000 barrels per day to as much as 1.4 million barrels per day.
International interest in its output is growing, he added, with buyers such as Saudi Aramco and several US-based firms expressing interest, particularly in jet fuel.
He described the refinery complex as vast, occupying land nearly seven times the size of Victoria Island in Lagos, and requiring roughly five hours to tour by vehicle.
According to him, the recent acquisition of 4,000 CNG-powered trucks for product distribution has directly created no fewer than 24,000 jobs.
Source: Getty Images
Speaking on the media’s part in safeguarding national energy security, he encouraged journalists to report developments in the sector accurately and objectively.
He urged them to visit the refinery to gain firsthand knowledge and counter misinformation, stressing that the asset must be protected from detractors.
Dangote expects increased NNPC stake in refinery
Meanwhile, Legit.ng earlier reported that Aliko Dangote stated that the NNPC could increase its 7.2% stake in the Dangote Refinery once the facility proves its full operational capacity.
The NNPC had earlier reduced its stake from 20% to 7.2% to focus on developing compressed natural gas (CNG) infrastructure.
Dangote also revealed plans to list 5–10% of the refinery’s shares on the Nigerian Stock Exchange while maintaining a majority ownership.
Source: Legit.ng
