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The Dangote Petroleum Refinery has exported its first shipment of Premium Motor Spirit (PMS), also known as petrol, to the United States, even as Nigerian fuel marketers continue to rely heavily on imports.
According to S&P Global, a medium-range vessel, Gemini Pearl, loaded about 300,000 barrels of petrol from the refinery’s Lekki port on August 26. The shipment is expected to arrive in New York and New Jersey on September 12.
This development marks a major milestone for the 650,000-barrel-per-day refinery, extending its reach beyond Africa to the US market.
Local Marketers Still Importing
Despite Dangote’s entry into the global market, Nigerian marketers remain largely dependent on imported fuel. Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) showed that in June 2025, the country supplied about 1.48 billion litres of petrol, but only 455 million litres came from the Dangote refinery.
The situation was similar in May, when 1.3 billion litres were imported, while Dangote supplied 473 million litres. Diesel imports accounted for 87% of supply in June, with local refineries producing just 13%. Aviation fuel also leaned more on imports, with 53% imported compared to 47% locally produced.
This shows Nigeria’s continued reliance on foreign petrol supplies, despite the presence of the Dangote refinery.
Dangote’s Vision
The President of the Dangote Group, Alhaji Aliko Dangote, has consistently maintained that his vision is to make Nigeria and Africa energy independent, reducing reliance on imports and turning the country into a net exporter of petroleum products.
He argued that ongoing importation, especially of subsidised or substandard products, is undermining local refining and discouraging investments.
“Due to price caps on Russian petroleum products, discounted petroleum products produced in Russia or with Russian crude find their way to Africa, severely undercutting our local production. This creates an uneven playing field,” Dangote said recently.
He added that toxic fuel blends, not permitted in Europe or North America, were being dumped in Nigeria, forcing local refiners to sell at below-cost prices.
Dangote has therefore urged the Federal Government to extend the ‘Nigeria First’ policy announced by President Bola Tinubu to the petroleum sector, arguing that domestic refiners must be protected the same way producers in the US, Canada, and the EU are shielded from unfair foreign competition.
Marketers React
Reacting to reports of Dangote’s petrol exports to the US, the National President of the Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, said marketers will continue to buy products based on profitability.
“If buying from the Dangote refinery gives importers a better deal, obviously they will want to buy from him. But if buying from the refinery does not give them that leverage, then they are free to import from whichever source, as long as the qualities are not compromised,” Gillis-Harry said.
While he welcomed Dangote’s milestone export, he insisted that Nigerian marketers would always consider profit margins first. “Every business has its own model. It is not left for us to dictate how Dangote should run his refinery. But we will always focus on what benefits Nigerians,” he added.
On Dangote’s claim that some importers bring in substandard or subsidised Russian fuel, Gillis-Harry said only the NMDPRA has the authority to confirm such claims.
Expanding Export Market
Since it began operations in 2024, the refinery has expanded its reach beyond Nigeria, exporting to Cameroon, Ghana, Angola, and South Africa, either directly or through international traders like Vitol and Trafigura. It has also shipped products to the Middle East and Southeast Asia.
Reports show that in June 2025, its exports spiked to about 90,000 barrels per day, reaching destinations such as Oman, Singapore, and Malaysia. However, production challenges, including outages and maintenance of its catalytic cracker unit, limited overall output.
For Nigeria, the refinery’s current capacity is still short of the estimated 300,000 barrels per day of petrol required locally. At 85% utilisation, Dangote’s facility can produce around 210,000 barrels daily, leaving a supply gap still covered by imports.
A Balancing Act
While Dangote pushes for protectionist policies to safeguard local refineries, marketers are more focused on cost-benefit considerations and profit margins. For the government, the challenge lies in balancing both sides — ensuring local refining thrives, while preventing scarcity and high pump prices.
As Dangote celebrates its first US petrol shipment, the real test remains whether Nigeria can finally cut down on its long history of fuel import dependence.
