Dangote Refinery to Halt Petrol Sales to Importers

Dangote Petroleum Refinery is considering halting the sale of petrol to licensed importers in Nigeria to ensure the quality of its products. The refinery is concerned that imported petrol may be blended with its locally refined petrol, making it difficult for consumers and regulators to distinguish between the two.

This blending could potentially damage the refinery's brand if quality issues arise. A source stated that it is challenging to justify significant investments in high-quality petroleum products while competing with imported products of uncertain quality.

The refinery aims to create a clear distinction between its products and those imported or blended by third parties. Currently, imported petrol constituted about 43% of total petrol supply in July, which the refinery argues is limiting the local market for Nigerian refiners.

Consequently, Dangote will prioritize marketers without import licenses and may cease supplying those who continue to import petrol under the federal government’s approved regime. Six companies licensed by NMDPRA to import petrol include Matrix Energy, A.A.

Rano, AYM Shafa, NIPCO, Pinnacle Oil and Gas, and Bono Energy.