Dangote Refinery Critiques Fuel Imports Amid Local Capacity

On August 26, Dangote Petroleum Refinery and Petrochemicals (DPRP) criticized the continued issuance of petroleum product import licenses, stating that Nigeria's local refining capacity is sufficient to meet domestic demand for Premium Motor Spirit (PMS). The refinery noted that approximately 43% of fuel supplied in Nigeria in July was imported, raising concerns about the necessity of these imports.

Dangote Refinery emphasized its commitment to supporting Nigeria's energy security and maintaining adequate inventory to ensure a steady fuel supply. However, it highlighted challenges in production and inventory planning due to a lack of transparency regarding the volume of imported products.

The refinery stated that maintaining large fuel storage volumes incurs significant costs, making it commercially unsustainable without clear visibility on import volumes. Consequently, excess products not absorbed by the domestic market are being exported to regional and international markets, contributing to increased export volumes in recent months.