Dangote Refinery Considers Petrol Sales Restrictions

Dangote Petroleum Refinery is contemplating a restriction on petrol sales to major marketers that import Premium Motor Spirit (PMS) due to concerns regarding product quality, market transparency, and brand integrity. This proposed measure could be enacted as early as this week, pending further consultations.

The refinery's primary concern is the alleged blending of imported petrol with its own PMS, which could lead to difficulties in distinguishing between products supplied directly by Dangote and those handled by third parties. There are worries that products of uncertain quality could tarnish the Dangote brand.

Although there are allegations regarding substandard imported petrol being mixed with Dangote products, these claims have not been independently verified. This development occurs amidst a notable increase in petrol imports, with data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority indicating that average daily PMS imports rose from 5.9 million litres in May to 19.7 million litres in July, representing 43.3 percent of total PMS receipts in July.