Dangote Makes History in Europe's Jet Fuel Market While Nigerian Airlines Battle High Prices
- Dangote Petroleum Refinery shipped 466,000 metric tonnes of jet fuel to Europe in June, surpassing United States exports for the month
- The June shipment, equivalent to roughly 582.5 million litres, carried an estimated domestic value of N757.25 billion
- S&P Global Commodity Insights linked the surge to a bearish European jet fuel market driven by oversupply and weaker aviation demand
Legit.ng journalist Victor Enengedi has over a decade's experience covering energy, MSMEs, technology, banking and the economy.
Dangote Petroleum Refinery has strengthened its position as a major global supplier of aviation fuel, emerging as Europe's largest jet fuel exporter in June 2025, even as Nigerian airlines continue to complain about shortages and rising domestic prices of Jet A1.
According to a market report by S&P Global Commodity Insights, the refinery exported about 466,000 metric tonnes of jet fuel to Europe in June, overtaking the United States for the first time.
Source: UGC
The shipment was more than double the 232,000 metric tonnes exported in May, making it Nigeria's biggest monthly aviation fuel export since the country became a net exporter of jet fuel in 2024 following the commencement of production at the Dangote Refinery.
The June export volume translates to approximately 582.5 million litres of aviation fuel. At an estimated local market price of N1,300 per litre, the cargo is valued at roughly N757.25 billion.
Export success contrasts with local airlines' concerns
Dangote's growing export footprint comes at a time when Nigerian airlines have repeatedly raised concerns over the high cost and limited availability of aviation fuel in the domestic market.
Airline operators have consistently warned that soaring Jet A1 prices remain one of the biggest drivers of rising operating costs, forcing many carriers to review airfares while struggling to maintain profitable operations.
Although Nigeria now has significant refining capacity for aviation fuel, industry stakeholders have argued that domestic supply challenges and pricing remain unresolved despite increased local production.
Dangote overtakes US as Europe looks elsewhere
While Dangote expanded its exports, the United States saw a sharp decline in shipments to Europe. American jet fuel exports dropped from a record 818,000 metric tonnes in April to 560,000 metric tonnes in May before falling further to 399,000 metric tonnes in June, allowing Nigeria to become Europe's largest supplier during the month.
Market analysts attributed the shift to increased refinery production and changing global trade flows.
A trader quoted by S&P Global said the global jet fuel market has become oversupplied as refineries maximised production during periods of elevated prices.
The trader also noted that increased exports from Dangote and the US, alongside the gradual resumption of fuel shipments through the Suez route from the UAE, have added to supply in Europe.
The report added that Europe's jet fuel market has turned increasingly bearish after prices surged during heightened tensions in the Middle East. Expectations of weaker-than-anticipated summer aviation demand and abundant fuel supplies have further softened the market.
Source: Getty Images
Despite the softer international market, Dangote Refinery's growing exports underline its emergence as a key player in the global aviation fuel trade.
However, the contrast between its export success and the persistent complaints from Nigerian airlines over expensive and scarce Jet A1 continues to fuel debate over whether local refining capacity is translating into meaningful benefits for the domestic aviation industry.
Dangote Refinery opens petrol sales to marketers
Meanwhile, Legit.ng earlier reported that Dangote Refinery opened petrol sales to all licensed marketers, ending its consortium marketing arrangement.
The refinery also reduced its ex-gantry PMS price and aligned its coastal loading price at the same rate.
Industry stakeholders said the move could intensify competition, reduce fuel imports, and help lower petrol prices.
Source: Legit.ng
