Dangote Refinery Boosts Daily Fuel Supply: 75M Litres of Petrol, 25M of Diesel, 20M of Aviation Fuel

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Dangote Petroleum Refinery has reaffirmed its capacity to supply massive volumes of petroleum products, including Premium Motor Spirit (PMS), also known as petrol, Automotive Gas Oil (diesel) and aviation fuel, effectively positioning itself to meet and exceed Nigeria’s total domestic demand.

In an update shared on Thursday, January 29, the 650,000-barrel-per-day refinery said it can now supply 75 million litres of petrol per day, against an estimated consumption figure of 50 million litres per day. The refinery also said it can supply 25 million litres per day against an estimated consumption figure of 14 million litres per day and 20 million litres of aviation fuel against an estimated consumption of 4 million litres per day.

While assuring that its petroleum products meet international standards for quality, Dangote Refinery reaffirmed its commitment to supporting market stability, the national energy security goal and full cooperation with downstream regulatory authorities.

“We reaffirm our commitment to full regulatory compliance and continued cooperation with regulatory authorities in support of market stability and national energy security objectives,” the refinery stated.

Analysts note that the refinery’s domestic supply capacity ramp-up is a strategic move to eliminate the country’s reliance on imported fuel and stabilise the downstream market.

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Going by the update, the refinery’s current capability significantly outpaces Nigeria’s estimated daily consumption, providing a substantial supply buffer against sudden fuel scarcities that have historically plagued the country.

The Dangote Refinery CEO, David Bird, had earlier in the month affirmed that the refinery was producing and supplying 50 million litres of petrol daily to the domestic market.

This supply expansion comes days after the $20 billion refinery announced an adjustment of its gantry price for petrol to ₦799 per litre, reflecting a 14 per cent increase from the ₦699 it sold during the festive season and the better part of January.

Dangote’s retail partner, MRS, has also adjusted the petrol pump price to ₦839 per litre from the ₦739 sold previously.

It said the new price regime aligns with what is considered a sustainable level to ensure long-term market stability.

The high supply volume (75m litres) is believed to be paving the way for the new initiative of free delivery to registered marketers that is proposed to start soon. The direct supply scheme is also projected to lead to a drop in retail prices across the board.

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Victor EZEJA

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Victor Ezeja is a passionate journalist, scholar and analyst of socioeconomic issues in Nigeria and Africa. He is skilled in energy reporting, business and economy, and holds a master's degree in mass communication.