Sunday, July 19, 2026

Nigeria should not be importing fuel; we have capacity to meet local demand: Dangote

Dangote stated that several oil companies routinely divert Nigerian crude to their trading subsidiaries abroad.

• December 1, 2025
Dangote Group
Dangote Group

President/Chief Executive, Dangote Industries Limited, Aliko Dangote, has criticised the crude supply practices of international oil companies, insisting that Nigeria has no justification for importing crude or refined petroleum products if existing laws are properly enforced. 

Speaking during a visit by the South South Development Commission (SSDC) to the Dangote Petroleum Refinery and Fertiliser Complex in Lagos, Dangote said the Petroleum Industry Act (PIA) already establishes a framework that prioritises domestic crude supply. However, he noted that operators continue to exploit loopholes that undermine the intent of the law. 

Dangote stated that several oil companies routinely divert Nigerian crude to their trading subsidiaries abroad, particularly in Switzerland, forcing domestic refineries to buy from these offshore entities at a premium of four to five dollars per barrel. 

“The crude is available. It is not a matter of shortage. But the companies move everything to their trading arms, and we are forced to buy at a premium. Meanwhile, we do not receive any premium for our own products,” he said. 

He disclosed that he has formally written to the Federal Government, urging it to charge royalties and taxes based on the actual price paid for crude, to prevent revenue losses and to discourage practices that disadvantage local refiners. 

Dangote said NNPC remains the primary supplier honouring domestic supply obligations, providing five to six cargoes monthly. However, the refinery requires as many as twenty cargoes per month from January to operate optimally. 

Describing the situation as “unsustainable for a country intent on genuine industrial growth,” Dangote argued that Africa’s economic future depends on value addition rather than perpetual raw material export. 

“It is shameful that while we exported one point five million tonnes of gasoline in June and July, imported products were flooding the country. That is dumping,” he said.

On report by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), that the refinery supplied only 17.08 million litres of the 56.74 million litres consumed in October 2025, Dangote said that the refinery exports its products if regulators continue to permit dumping by marketers. 

Dangote pledged that it would supply 50 million litres of petrol daily during the Yuletide period, with a total of 1.5 billion litres planned for December 2025 and another 1.5 billion litres for January 2026. 

He commended President Bola Tinubu’s Nigeria First Policy but stressed the need for legislative backing to make the policy more effective. He said the president is committed to positioning Nigeria as a leader in Africa’s transition from raw material export to value-added production, job creation and sustainable economic expansion. 

Dangote further explained that the company’s expansion strategy reflects Africa’s fast-growing demand for petroleum products, estimated at around four million barrels per day, while regional refining capacity lags at below one and a half million barrels. 

Addressing Nigeria’s ambition to achieve a one trillion-dollar economy, Dangote said the target is attainable through disciplined policy execution, improved power generation and a revival of the steel sector. 

“You cannot build a great nation without power and steel. Every bolt and nut used here was imported. That should not be the case. Nigeria should be supplying steel to smaller African countries,” he said. 

He also underscored opportunities for partnership with the SSDC in agriculture, particularly in soil testing and customised fertiliser formulation, noting that misuse of fertiliser remains a major reason Nigerian farmers experience limited productivity gains. 

“We are setting up advanced soil testing laboratories. From next year, we want to work with the SSDC to empower farmers by providing accurate soil assessments and customised fertiliser blends,” Dangote said. 

He added that despite the global push for electric vehicles, Africa will continue to rely heavily on petroleum products due to limited power access and affordability challenges. 

“People talk about electric vehicles, but six hundred million Africans do not have power for their fridge. Oil remains essential because over six thousand products come from it,” he said. 

Dangote reaffirmed the refinery’s commitment to supporting national economic growth, strengthening local industry and ensuring Nigeria becomes a net exporter of refined products and petrochemicals.

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