FULL LIST: 12 Petrol Marketers Sign New Deal to Sell Dangote Fuel Nationwide
- Dangote Petroleum Refinery has agreed to supply up to 65 million litres of petrol daily to the Nigerian market
- The offtake deal involves 12 major petroleum marketing companies for nationwide distribution
- Industry leaders say the refinery could significantly reduce Nigeria’s dependence on imported fuel
Oluwatobi Odeyinka is a business editor at Legit.ng, covering energy, the money market, technology and macroeconomic trends in Nigeria.
The Dangote Petroleum Refinery has signed an offtake agreement with 12 major petroleum marketing companies to distribute between 60 million and 65 million litres of Premium Motor Spirit (PMS), also known as petrol, daily across Nigeria.
Source: Getty Images
President of the Dangote Group, Aliko Dangote, disclosed this in Lagos, stating that the arrangement is designed to ensure consistent nationwide supply while allowing surplus volumes to be exported, PUNCH reported.
According to a statement from the company, Dangote said the refinery had agreed on a structured framework to supply up to 65 million litres of petrol daily to the domestic market.
Excess output to be exported
He added that any excess output, estimated at between 15 million and 20 million litres per day, would be exported after local demand is met.
Nigeria’s daily petrol consumption is currently estimated at between 50 million and 60 million litres.
Based on the new supply framework, the refinery is projected to release between 1.8 billion and over 2 billion litres monthly, depending on daily production levels and the number of days in each month.
The latest development builds on an earlier agreement reached in October 2025 between the refinery and downstream operators to improve supply stability and reduce volatility in pump prices. At the time, independent marketers said the refinery planned to make up to 600 million litres of PMS available monthly to address recurring supply disruptions and rising costs.
The new arrangement, endorsed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority, assigns selected marketers the responsibility of nationwide distribution. The aim, according to the statement, is to improve logistics efficiency, discourage hoarding and support price stability.
List of marketers
The participating companies include MRS Oil Nigeria Plc, Nigerian National Petroleum Company Limited Retail, 11 Plc, TotalEnergies Marketing Nigeria, Rainoil Limited, Northwest Petroleum & Gas Company Limited, Ardova Plc, Bovas & Company Limited, AA Rano Nigeria Limited, AYM Shafa Limited, Conoil Plc and Masters Energy.
The refinery noted that exporting surplus volumes after meeting domestic obligations would help conserve foreign exchange, strengthen Nigeria’s trade balance and reduce dependence on imported fuel.
For decades, Nigeria relied heavily on imported refined petroleum products despite being Africa’s largest crude oil producer. This dependence exposed the country to foreign exchange pressures, global supply shocks and periodic fuel shortages.
Source: Getty Images
Ojulari hails Dangote refinery
The Group Chief Executive Officer of the Nigerian National Petroleum Company Limited, Bayo Bashir Ojulari, recently described the refinery as a strategic national asset capable of reshaping Nigeria’s energy security. He noted that while the facility was designed for 650,000 barrels per day, live operational parameters showed output reaching 661,000 barrels per day.
Nigeria has implemented reforms in the oil and gas sector following the deregulation of the downstream market and removal of fuel subsidy under President Bola Tinubu.
Industry stakeholders say the refinery is expected to play a key role in reducing petrol imports, stabilising prices and positioning Nigeria as a net exporter of refined products in West and Central Africa.
Analysts note that if effectively implemented, the structured offtake model could improve supply reliability and reduce the risk of fuel shortages that have affected the country in the past.
Dangote tells Nigerians to prepare to buy refinery shares
Legit.ng earlier reported that the President of the Dangote Group, Alhaji Aliko Dangote, has announced that Nigerians will be able to buy shares in the Dangote Refinery within the next four to five months.
Investors can choose to receive dividends in naira or dollars, as the refinery earns in foreign currency.
Dangote also urged the government to reduce imports and support local manufacturing to strengthen the naira.
Source: Legit.ng
