Petrol Prices May Rise as Another West African Country Imports Fuel from Dangote Refinery
- Nigeria's Dangote Refinery poised to reshape West Africa's fuel supply and pricing dynamics
- Ghana seeks to import petrol from Nigeria to reduce fuel costs and enhance energy security
- Stronger regulatory collaboration will be essential for harnessing regional energy market benefits
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
Nigeria’s growing influence in Africa’s downstream oil market is set to deepen as Ghana prepares to import petrol from the Dangote Refinery, a development that could reshape fuel supply dynamics across West Africa and put fresh pressure on regional pump prices.
Speaking at the 2026 Nigeria International Energy Summit (NIES), Ghana’s Chief Executive Officer of the National Petroleum Authority (NPA), Godwin Tameklo, described Nigeria as firmly established as a regional energy hub, with the Dangote Refinery emerging as a critical supplier of refined petroleum products to neighbouring countries.
Source: UGC
Nigeria’s refining power reshapes sub-region
Tameklo said increased dependence on Nigeria’s refined products could significantly reduce Ghana’s fuel import costs, especially given the geographical proximity between the two countries.
According to him, sourcing petrol from Nigeria offers logistical and economic advantages compared with imports from distant global markets.
He stressed that stronger regulatory alignment between Nigeria and Ghana would be key to unlocking the full benefits of this partnership.
A harmonised regulatory framework, he said, would help project West Africa as a more integrated and competitive energy market while deepening economic cooperation.
Ghana’s limited refining capacity
Ghana’s domestic refining capacity remains modest. The country operates two major refineries alongside a small modular facility that produces between 5,000 and 6,000 barrels per day, a figure Tameklo noted would be considered insignificant by Nigerian standards.
As a result, Ghana has historically relied on imports for both crude oil and refined petroleum products, positioning it as a natural offtaker for Nigeria’s expanding refining output.
Tameklo confirmed that discussions are already underway with the President of Dangote Group, Aliko Dangote, to secure regular lifting of refined products from the Lekki-based mega refinery.
Currency stability and cost implications
While proximity and scale promise lower landing costs, Tameklo warned that currency performance remains a critical factor.
He noted that disparities between the Ghana cedi and the Nigerian naira could undermine the economic gains expected from cross-border fuel trade.
According to him, sustainable benefits would only be achieved if both economies maintain relative currency stability, ensuring that price advantages translate into real savings for consumers.
Ensuring affordable and quality fuel
The NPA boss said Ghana’s primary objective is to guarantee access to affordable, high-quality petroleum products.
Partnering with large-scale refineries like Dangote, which have pledged consistent quality, would help Ghana achieve this goal while strengthening regional energy security.
He described Ghana as a ready and reliable market for Nigerian refined products, adding that Nigeria should consolidate its position as Africa’s energy hub by strengthening regulatory cooperation rather than retreating from regional leadership.
Lessons from Ghana’s deregulation model
On downstream regulation, Tameklo explained that Ghana avoids strict price controls, opting instead for a floor price below which oil marketing companies cannot sell.
This approach, he said, prevents destructive price wars that could wipe out competitors and destabilise the sector.
He recalled Ghana’s 2015 experience with fuel subsidies, which led to delayed payments and crippled fuel stations.
Source: Getty Images
Full deregulation, he said, allowed market forces to operate, resulting in a more resilient downstream sector.
As Dangote Refinery expands its footprint across West Africa, its growing dominance could tighten regional supply chains, potentially influencing petrol prices while reinforcing Nigeria’s central role in the continent’s energy future.
Dangote gives reasons petrol may sell for N1,000
Meanwhile, Legit.ng earlier reported that Dangote Petroleum Refinery has warned Nigerians that the price of petrol could rise close to N1,000 per litre if the country continues to rely heavily on coastal fuel evacuation.
The refinery said its warning is aimed at drawing attention to the impact of logistics decisions on pump prices, consumer welfare and the wider economy, stressing that inefficient evacuation methods could erode the gains of domestic refining.
In a statement released on Thursday, February 6, 2026, the company noted that coastal delivery of petrol introduces multiple charges that do not add value to consumers.
Proofreading by Kola Muhammed, copy editor at Legit.ng.
Source: Legit.ng
