Three African Countries Turn to Dangote Refinery for Petrol Supply Amid Global Disruptions
- African nations seek fuel supply from Nigeria’s Dangote Refinery amid global market disruptions
- South Africa, Ghana, and Kenya explore agreements for stable petroleum supplies from Dangote
- Dangote refinery poised to become Africa's key fuel distributor as global energy uncertainties persist
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
Several African countries are increasingly turning to Nigeria’s Dangote Petroleum Refinery and Petrochemicals for fuel supply, as disruptions linked to tensions involving Iran continue to reshape global energy markets.
According to a report by Bloomberg, governments across the continent are making inquiries and exploring supply agreements with the refinery to cushion the impact of tightening fuel availability.
Source: UGC
African countries seek alternative fuel sources
Countries such as South Africa, Ghana, and Kenya are among those that have approached the Lagos-based refinery in recent weeks.
South Africa is reportedly considering a 12-month fuel supply arrangement, while Ghana and Kenya have also initiated discussions as part of broader efforts to secure stable petroleum supplies.
Officials and industry stakeholders cited in the report noted that the surge in interest is being driven largely by concerns over fuel availability rather than pricing. Governments are prioritising energy security as uncertainties persist in global oil markets.
In an official statement, South Africa’s government said it is working with industry players to diversify sources of both crude oil and refined petroleum products.
Authorities also noted that contingency measures have been put in place to manage potential supply disruptions.
Meanwhile, Kenya has indicated that it currently maintains short-term fuel buffers and does not face an immediate shortage, even as it evaluates additional supply options.
Middle East disruptions reshape fuel flows
The renewed scramble for alternative suppliers follows disruptions in global oil and fuel supply chains tied to geopolitical tensions involving the United States and Israel, which have affected exports from the Middle East.
The region remains a critical supplier of refined fuel to many African markets, particularly in eastern and southern Africa. Data from CITAC shows that about 75 per cent of refined fuel imports in these regions originate from the Middle East.
Analysts say this heavy dependence has increased the continent’s exposure to external shocks, especially as refining capacity across several African countries has declined over the years.
As a result, supply uncertainties in the Middle East are now forcing governments to rethink sourcing strategies and strengthen regional supply networks.
Dangote refinery capacity and outlook
The Dangote refinery, currently Africa’s largest, has a processing capacity of 650,000 barrels per day, with approximately 75 per cent of its output dedicated to domestic consumption in Nigeria. The remaining volume is available for export to international markets.
Speaking in an earlier interview with The Economist, industrialist Aliko Dangote noted that current market conditions are being driven more by supply availability than by pricing dynamics, suggesting that the trend could persist in the near term.
The facility reached full operational capacity in February 2026, marking a significant milestone in Nigeria’s push to become a net exporter of refined petroleum products.
Source: Getty Images
Looking ahead, plans announced in October 2025 indicate that the refinery could expand its capacity to 1.4 million barrels per day, a move that could further strengthen its position as a key supplier to African and global markets.
As supply uncertainties continue to ripple across global energy markets, the Dangote refinery is emerging as a strategic hub for fuel distribution within Africa, offering countries a closer and potentially more reliable alternative to traditional import sources.
Petrol price war looms as marketers import fuel
Legit.ng earlier reported that as Nigerians struggle with rising fuel costs, petroleum marketers have begun importing petrol and diesel in what appears to be an attempt to stabilise supply and challenge the growing dominance of the Dangote Petroleum Refinery in the downstream market.
Shipping data shows that vessels carrying about 129,000 metric tonnes of Premium Motor Spirit (PMS) and Automotive Gas Oil (AGO) are scheduled to arrive at Lagos ports between March 14 and March 17, 2026.
The development comes at a time when petrol prices have surged nationwide after the Dangote refinery raised its gantry price to N1,175 per litre, pushing retail pump prices in many locations above N1,200 per litre.
Source: Legit.ng
