The Dangote Petroleum Refinery has sealed a major offtake agreement with 12 leading petroleum marketing companies to distribute between 60 million and 65 million litres of Premium Motor Spirit daily across Nigeria, a move expected to transform the country’s fuel supply landscape and deepen energy self-sufficiency.
Aliko Dangote, President of the Dangote Group, confirmed the arrangement in Lagos, explaining that the refinery will prioritise domestic demand and channel surplus volumes to export markets. He said the framework guarantees steady nationwide availability of petrol while positioning Nigeria as a net exporter of refined products.
Under the deal, the refinery will supply up to 65 million litres of petrol per day to the local market. With Nigeria’s current daily consumption estimated at 50 million to 60 million litres, the planned output is projected to not only meet national demand but also create an exportable surplus of between 15 million and 20 million litres daily once local needs are satisfied.
This translates to an expected monthly supply of roughly 1.8 billion to more than 2 billion litres of petrol, depending on operational days and output levels. The structured offtake model is designed to streamline logistics, curb hoarding, and support price stability across the downstream sector.
The agreement builds on an earlier understanding between the refinery and downstream operators aimed at stabilising fuel supply and reducing volatility at the pump. It is endorsed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority, which has tasked selected marketers with nationwide distribution to minimise disruptions and discourage speculative practices.
The participating marketers include MRS Oil Nigeria Plc, NNPC 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.
According to the refinery’s promoters, the export of surplus volumes will conserve foreign exchange, improve Nigeria’s trade balance, and strengthen external reserves by sharply reducing the country’s reliance on imported fuel. For decades, Africa’s largest crude producer has depended on foreign refineries, leaving its economy exposed to currency swings, global supply shocks, and recurring domestic shortages.
Industry leaders describe the Dangote refinery as a transformative asset for Nigeria’s energy security, with its 650,000-barrel-per-day design capacity already testing above nameplate levels. The plant is expected to anchor a new era in which Nigeria not only ends petrol importation but also emerges as a regional hub for refined products across West and Central Africa.
