Dangote Warns Fuel Marketers of Extra N75/Liter Cost for Coastal Loading

Aliko Dangote, through Dangote Group, cautions fuel marketers about an extra N75 per liter cost for coastal loading of petroleum products, despite his refinery's 650,000 barrels per day capacity. The refinery aims to reduce reliance on imported petroleum products, currently constituting 50% of the market supply.

Dangote prefers gantry loading for efficient distribution, contrasting with coastal loading's higher logistical costs. The Nigerian Midstream Downstream Petroleum Regulatory Authority (NMDPRA) data shows the refinery's monthly supply of 32.02 million liters of premium motor spirit (PMS) with a utilization peak of 71%.

Dangote emphasizes the need for nationwide pipeline investments to cut distribution costs and enhance energy security.