Dangote Refinery Delivers 43 Million Litres of Fuel in One Day, Debunks Shutdown Rumours
- Dangote Petroleum Refinery confirms ongoing operations amid false shutdown reports, delivering over 43 million litres of petrol
- Depots raise ex-depot prices despite Dangote's N699 per litre rate, prompting questions over price manipulation
- Dangote defends local refining, prioritising stability despite N91 billion monthly losses from recent price cuts
The Dangote Petroleum Refinery has dismissed reports that it shut down its petrol processing unit, revealing that it delivered 43.3 million litres of Premium Motor Spirit to the Nigerian market in a single day.
Officials of the refinery said the volume loaded on Saturday, January 3 alone was enough to meet more than half of Nigeria’s estimated daily petrol consumption, countering claims that production had been halted for maintenance.
Source: UGC
The clarification follows widespread reports over the weekend that the refinery had suspended operations, a claim that triggered sharp increases in ex-depot petrol prices across major fuel trading hubs.
“We never stopped loading,” Officials insist
A senior official of the $20 billion refinery described the shutdown reports as false and misleading, insisting that operations were running at full capacity.
“Have we stopped loading or turned back a single truck that came to load?” the official said. “Yesterday alone, we loaded 43.30 million litres of petrol.”
Another source added that the refinery currently holds enough petrol in storage to supply the Nigerian market for more than 20 days, assuring motorists and marketers that there is no risk of fuel scarcity.
Depot prices rise despite Dangote’s N699 rate
Despite the refinery selling petrol at N699 per litre, several private depots raised their ex-depot prices to between N780 and N805 per litre within days, citing alleged supply concerns.
Data from petroleumprice.ng showed that Eterna and Integrated depots increased prices to N800 per litre, up from N726 earlier in the week. Aiteo and Lister sold within the N780 range, while prices in Warri climbed as high as N805 per litre.
Dangote refinery officials questioned the justification for the hikes, suggesting that some traders were exploiting false shutdown claims to drive up prices.
Price war after Dangote’s December cut
In December, the Dangote refinery slashed its petrol gantry price from N828 to N699 per litre, a N129 reduction that sent shockwaves through the downstream sector.
The move forced marketers and depot owners to sell below their cost price, resulting in losses estimated at over N100 billion monthly for petrol importers.
During a briefing, Dangote Group President Aliko Dangote said the refinery would enforce the new price regime, with partner MRS Oil selling petrol at N739 per litre nationwide.
As more MRS stations in Lagos and Ogun states began selling at the revised price, motorists boycotted outlets selling higher, forcing many stations to cut prices.
Importers push back, but supply remains strong
Marketers have blamed the price surge on losses incurred from Dangote’s price cut, with analysts noting that some importers may be attempting to recoup losses by driving up depot prices.
However, Dangote refinery officials ruled out any imminent supply disruption, insisting that the plant remains fully operational and committed to stabilising fuel prices.
Dangote himself acknowledged that the refinery is also losing money, with estimates putting its monthly losses at about N91 billion following the price cut. Still, he maintained that local refining must be protected.
Source: Getty Images
“I would rather lose money than allow petrol imports to continue dominating the market,” he said.
Analysts believe the refinery’s sustained output will continue to pressure depot prices, limiting the ability of importers to push through further increases.
Dangote Refinery rolls out 10-day credit
Legit.ng earlier reported that Nigeria’s downstream petroleum market experienced another major shake-up after Dangote Petroleum Refinery unveiled a new supply arrangement designed to ease pressure on petrol station owners and dealers nationwide.
In a move that could reshape fuel distribution dynamics, the refinery introduced a 10-day credit facility backed by bank guarantees, alongside free direct delivery of petrol to registered outlets.
According to a statement released by the Dangote Group on Tuesday, December 30, 2025, via its official X handle, the new initiative allows participating petrol dealers to access fuel on credit for up to 10 days.
Proofreading by Kola Muhammed, copy editor at Legit.ng.
Source: Legit.ng
