Aliko Dangote, Chairman of Dangote Refinery, has urged the Nigeria National Petroleum Company Limited (NNPCL) and other fuel importers to cease importing fuel products, emphasizing that the refinery currently holds over 500 million litres of fuel in its storage tanks. According to Dangote, the refinery has sufficient capacity to meet domestic demand, provided it receives adequate crude oil supplies.
Following his meeting with President Bola Tinubu, Dangote addressed the ongoing fuel shortages and long queues at filling stations across Nigeria. He noted that Dangote Refinery has the capability to produce more than 30 million litres of fuel per day, a quantity he argues could effectively meet the country’s fuel consumption needs and eliminate queues at filling stations. “If they don’t come forward and pick, what do you want me to do? I am expecting either NNPC or the marketers to stop importing, they should come and pick because we have what they need,” Dangote told reporters. He emphasized that if marketers collect fuel from the refinery, they could distribute it across Nigeria just as they currently do with imports.
The current fuel situation has reportedly caused significant financial losses for Dangote Refinery, as maintaining large fuel reserves in storage tanks incurs high costs. Dangote highlighted the economic impact of the unused inventory, stating, “I’m losing 32% in interest on money tied up in fuel stock. This daily expense impacts operations, as keeping 500 million litres on standby is financially unsustainable.” He urged local marketers to capitalize on the readily available supply, assuring them that the refinery could consistently supply the market with at least 30 million litres of fuel per day.
The refinery, however, does not engage in retail sales or own fuel distribution trucks. Dangote emphasized that the role of the refinery is production, not distribution, and encouraged licensed retailers to purchase fuel directly from his facility. He noted that if they can distribute imported fuel, they should be able to do the same with fuel produced domestically.
Dangote concluded that if distributors reliably collect fuel from the refinery, shortages could be significantly reduced, allowing fuel to be available to Nigerians without reliance on imported supply.
