The Dangote Petroleum Refinery has achieved another milestone with its first shipment of Premium Motor Spirit (PMS), commonly known as petrol, to the United States, even as Nigerian fuel marketers continue heavy importation.
According to S&P Global, a medium-range vessel, Gemini Pearl, departed Lekki Port in Lagos on August 26 carrying about 300,000 barrels of petrol, with delivery scheduled for New York and New Jersey on September 12.
The deal, sealed privately, marks the refinery’s entry into the US market after expanding sales to Africa, the Middle East, and Southeast Asia.
Despite this breakthrough, Nigerian fuel marketers remain largely dependent on imports.
Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) show that in June 2025, 1.48 billion litres of petrol were supplied nationwide—of which over one billion litres came from imports, while only 455 million litres originated from Dangote.
In May, the trend was similar, with 1.3 billion litres imported versus 473 million litres supplied locally.
Nigeria’s dependence on imports extends beyond petrol. In June, 87% of diesel and 53% of aviation fuel came from foreign sources, underscoring challenges for local refining despite Dangote’s 650,000-barrel-per-day capacity.
At an 85% utilisation rate, the refinery can produce about 210,000 bpd of petrol—slightly below domestic demand, which continues to rise.
Aliko Dangote, President of Dangote Group, insists his $20 billion refinery was built to make Nigeria and Africa energy self-sufficient.
He has repeatedly urged the government to enforce a “Nigeria First” policy to shield local refiners from what he describes as unfair competition and dumping of cheap, substandard fuels, including subsidised Russian imports.
“We are now facing increased dumping of toxic petroleum products that would never be allowed in Europe or North America,” Dangote said at a July conference, warning that such practices undermine local producers.
Petroleum traders, however, argue that business decisions are profit-driven.
The National President of the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, said marketers would buy from any source that ensures better margins.
He welcomed Dangote’s export feat but stressed that “every business has its own model” and that importation remains an option if it offers competitive prices.
Since commencing PMS production in September 2024, Dangote has steadily expanded exports, supplying countries including Ghana, Cameroon, Angola, South Africa, Oman, and Singapore.
By mid-2025, the refinery had shipped about 1.35 billion litres of petrol abroad, making Nigeria, for the first time in decades, a net exporter of refined products.
Still, with local marketers importing massive volumes, industry analysts say the refinery faces a tough battle to dominate its home market even as it gains global recognition.
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