Connect with us

Business

Nigeria imports 15bn litres of petrol despite Dangote refinery output

Published

on

Nigeria imported about 15.01 billion litres of Premium Motor Spirit (petrol) between August 2024 and the first 10 days of October 2025, representing nearly 69 per cent of the total national petrol supply during the 15-month period. This is despite the fact that the Dangote refinery started petrol production in September 2024.

Figures from the Nigerian Midstream and Downstream Petroleum Regulatory Authority show that total PMS supply for the period stood at 21.68 billion litres, with 6.67 billion litres, or 31 per cent, coming from domestic refining. The data, titled Import vs Domestic Supply Performance (PMS Daily Average Supply – August 2024 to October 2025), captured supply trends over 15 months, highlighting the gradual rise in local production and a corresponding drop in imports.

According to the breakdown, imported petrol averaged 44.60 million litres per day in August 2024 and rose to 54.30 million litres per day in September 2024, marking the peak of import dependence during the period. This was a time when the Dangote refinery began PMS supply to the local market.

It was noted that imports began to decline steadily, falling to 24.15 million litres per day by January 2025, 19.26 million litres per day in September 2025, and 15.11 million litres per day within the first 10 days of October 2025.

The decline in petrol imports showed that the Dangote refinery is gradually taking a significant share of the market, but this comes with stiff competition from petrol importers, who repeatedly accused Aliko Dangote of stifling competitors with consistent price reductions.

As domestic refining grew consistently through the period, local production, which stood at 6.43 million litres per day in September 2024, increased to 22.66 million litres per day in January 2025 before stabilising around 20 million litres per day in subsequent months. By October 2025, the Dangote refinery was producing an average of 18.93 million litres per day, exceeding imports for that month.

The data also showed notable supply fluctuations across the months as total daily PMS supply peaked at 60.73 million litres in September 2024 before dropping to 44.08 million litres in April 2025 and further to 34.04 million litres by October 2025. The variations reflected shifts in both import availability and refinery operations.

See also  FTSE re-entry triggers foreign demand for Nigerian equities

This is an indication that daily consumption has dropped significantly from an average of 60.73 million litres per day in September 2024 to 51.57 million litres in July 2025, 41.86 million in August, 34.86 million in September and 34.04 million per day in the first 10 days of October 2025.

Recall that the Federal Government totally deregulated the petrol sector in September last year, stopping the controversial fuel subsidies which the Nigerian National Petroleum Company Limited was paying on imported petrol.

A month-by-month analysis revealed that the highest domestic output was recorded in January 2025, with a daily average of 22.66 million litres, while the lowest was in August 2024, when no local production was recorded because Dangote had yet to commence production at that time.

The highest total supply was in September 2024 at 60.73 million litres per day, followed by October and November 2024, when total daily supply averaged 56.01 and 55.75 million litres, respectively. By the end of the review period, cumulative petrol imports had reached 15,009.85 million litres, while domestic production amounted to 6,672.44 million litres, giving a combined total of 21,682.29 million litres supplied over the 445 days between August 2024 and October 1-10, 2025.

The figures underline the ongoing transition in Nigeria’s petrol supply structure, showing a gradual but measurable increase in the contribution of domestic refining. However, the data also confirmed that imports continued to dominate the national supply mix for most of the period.

It could be recalled that while marketers insisted on importation, the Dangote refinery has been exporting petrol to other countries, including the United States. The 650,000 refinery has consistently boasted of its capacity to meet local fuel demands while exporting to foreign countries.

Aliko Dangote’s plan for building the refinery was to end Nigeria’s dependence on imported fuel despite being an oil-producing nation. However, marketers have continued to import petrol into Nigeria, competing heavily with the refinery.

Recently, the Dangote refinery challenged marketers to bring their trucks for fuel loading, boasting that it has over 310 million litres of petrol in its ranks. The Vice President of the Dangote Group, Devakumar Edwin, stated that marketers were allowed to bring any trucks for loading at the gantry, as the refinery had enough fuel for the local market and for exports.

See also  Ogun debt hits N494bn, IGR rises above N240bn

“I have more than 310 million litres of PMS as of today inside my tanks, apart from the production which is coming out every day. Bring your tankers. We will load. Any number of tankers you bring, we’ll load. It’s a challenge I’m throwing today. No one can come and tell me I’m not loading. We can load any number of tankers you bring. So, you can see whether I have the capacity to produce or not. We have more than 310 million litres as of now,” he stressed.

The Dangote refinery had in September exported more fuel to foreign nations when Saudi Aramco and others in the Middle East Gulf closed refineries for maintenance.

A senior officer at the Dangote refinery told our correspondent that the $20bn Lekki-based plant exported large volumes of Premium Motor Spirit (petrol), aviation fuel, and diesel to other countries in August.

The official, who spoke in confidence as he was not authorised to speak with the press, said, “We export PMS, diesel and aviation fuel.”

Our correspondent gathered that the Dangote refinery had supplied two long-range cargoes of fuel to the Mideast Gulf region between June and July. According to Argus Media, a heavy refinery turnaround season in the Mideast Gulf was expected to exacerbate an already tight gasoline market in the fourth quarter, prompting key regional suppliers to boost imports.

In February, the Dangote refinery said it sold two cargoes of aviation fuel to Saudi Aramco. Aliko Dangote announced that the refinery achieved a significant milestone by successfully exporting the two cargoes of jet fuel to Saudi Aramco, the world’s largest oil producer.

See also  Report reveals Nigeria leaves N40tn manufacturing opportunities untapped

Dangote said the refinery was reaching the ambitious goals it set for itself as it ramps up production.

“We are reaching the ambitious goals we set for ourselves, and I’m pleased to announce that we’ve just sold two cargoes of jet fuel to Saudi Aramco,” he said in February, adding that since its production began in 2024, the refinery has steadily increased its output.

Some months ago, he disclosed that the oil refinery had begun exporting PMS to other countries of the world. According to him, between June and July 2025, the refinery exported up to one million tonnes of petrol.

“Today, Nigeria has actually become a net exporter of refined products. From the beginning of June to date (July 22), we have exported about one million tonnes of PMS within the last 50 days,” he said.

The NMDPRA also testified that the Dangote refinery supplies an average of 20 million litres of petrol into the local market.

“Without a shadow of a doubt, the operation of the 650,000-barrel-per-day Dangote refinery has changed the supply dynamics, with an average daily contribution of up to 20 million litres, undoubtedly with potential for a future ramp-up,” NMDPRA Chief Executive, Farouk Ahmed, said recently in Lagos.

The data underscores Nigeria’s ongoing transition from heavy reliance on imported petrol to a more balanced supply structure driven by domestic refining. While the country still depends significantly on foreign fuel, the steady growth in local production, particularly from the Dangote refinery, signals a gradual shift toward self-sufficiency.

However, the competition between importers and the refinery, coupled with market pricing challenges, suggests that achieving full local dominance will take time. With refining capacity expanding and consumption patterns adjusting, Nigeria appears to be entering a new phase in its downstream petroleum landscape, one defined by increased domestic output, reduced imports, and the potential to finally end decades of fuel dependence.

punch.ng

FOLLOW US ON:

FACEBOOK

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

TUMBLR

INSTAGRAM

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

NAFDAC destroys N8bn products, targets sachet alcohol in N’Central

Published

on

The National Agency for Food and Drug Administration and Control (NAFDAC) has confiscated and destroyed unwholesome, banned, fake and adulterated products worth more than N8 billion in the North-Central states.

Speaking during the destruction ceremony on Thursday in Lafia, the Nasarawa State capital, the Director-General of NAFDAC, Prof. Mojisola Adeyeye, said the products were seized from manufacturing outfits, sales outlets, markets and motor parks across the zone.

The DG, who was represented by a Deputy Director of NAFDAC in the zone, Joseph Edor, said most of the confiscated products were banned alcoholic beverages in small volumes of less than 200 ml (20 cl).

According to her, NAFDAC was established by Decree No. 19 of 1993, as amended, with the mandate to protect and promote public health by ensuring that only quality, efficacious and regulated products are manufactured, imported, distributed and sold in Nigeria.

She explained that the agency banned alcoholic beverages in sachets and glass bottles of less than 200ml due to their availability, affordability and portability, which have made them easily abused by youths and underage schoolchildren.

“Research has shown that early exposure to alcohol affects the brain and other vital organs such as the liver and kidneys.

“It stymies the brain, resulting in mental retardation, brain damage, poor performance of pupils in school, low productivity and several types of illnesses,” she said.

The DG said the ban and subsequent raids were based on these abuses, addiction and adverse health effects, while other seized items included expired, fake and unwholesome food, drugs and cosmetics.

“It is in the course of carrying out these activities that this heap of unwholesome, banned, fake and adulterated products worth about eight billion naira was confiscated from manufacturing outfits, sales outlets, markets and motor parks.

See also  TUC urges subsidy for Dangote, modular refineries to lower fuel costs

“The bulk of the products in that pile are predominantly banned alcoholic beverages in low volumes of less than 200ml (20cl),” she emphasised.

The Director-General further commended other law enforcement agencies, sister agencies and stakeholders for their continuous collaboration, especially in intelligence sharing and security cover during operations.

Also speaking at the event, the Nasarawa State Coordinator of NAFDAC, Dr Gyani Stephen, explained that the exercise was not targeted at hurting people but was intended to save lives.

He advised those in the habit of selling fake and banned products to desist or be ready to face the full wrath of the law, warning that the agency would come after them if they did not change their ways.

In his goodwill message, the Nasarawa State Commander of the National Drug Law Enforcement Agency, Daniel Saidu, represented by Yakubu Awoh, commended NAFDAC for saving lives through the regular seizure and destruction of expired and fake drugs.

He explained that if these dangerous products were allowed into the markets, they could have destroyed millions of lives and affected the mental health of many others.

Source: punchng.com

FOLLOW US ON:

FACEBOOK

WHATSAPP CHANNEL

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Business

Seven modular refineries to begin operations in 2027, read details

Published

on

Nigeria’s modular refining sector is expected to expand next year, with seven new refineries projected to commence operations with a combined capacity of 83,000 barrels per day, according to Argus Media’s George Maher-Bonnett.

Maher-Bonnett disclosed this in Lagos on Wednesday during a presentation at the OTL Africa Downstream conference, where he highlighted the changing dynamics of Nigeria’s petroleum products market amid rising local refining capacity and declining fuel demand.

In his presentation, titled ‘African Energy Outlook’, Maher-Bonnett said four modular refineries operated in Nigeria in September, with a combined capacity of 32,000 barrels per day.

“Four modular refineries operating in September, total 32,000 b/d capacity,” he said.

He added, “Seven new modular refineries to start next year“ with a total of 83,000 barrels per capacity.

The projected additions would represent more than two and a half times the combined capacity of the four modular refineries operating in September, potentially increasing the contribution of smaller refining facilities to Nigeria’s domestic petroleum products supply.

However, the presentation did not identify the seven proposed refineries, their owners or locations, or provide individual capacity figures and commissioning schedules.

Maher-Bonnett also highlighted the growing role of the Dangote Petroleum Refinery in improving Nigeria’s self-sufficiency in petroleum products, despite a decline in fuel demand during the year.

“Nigerian fuels demand is down this year,” the presentation stated, attributing the development to “higher flat prices.”

He added self-sufficiency is improving with Dangote ramp-up, projecting that modular refineries would play a growing role.

The presentation linked the decline in demand to higher prices and noted that the only government intervention during the period covered was an NNPC price reduction.

See also  Cooking gas nears N2,000/kg ahead of Sallah celebrations

“No government interventions, besides NNPC price cut this month,” it stated.

The expected expansion of modular refining capacity comes as Nigeria’s petroleum products market adjusts to increased domestic production and changing international trade flows.

Maher-Bonnett said the Dangote refinery is operating at a high rate, with steady petrol output, reducing the attractiveness of importing some petroleum products from Europe into West Africa.

“Dangote’s 700,000 bpd Lekki refinery is running hard, gasoline output is steady,” the presentation stated.

It also highlighted Ghana’s growing refining capacity, noting that the 45,000-barrel-per-day Tema refinery is ramping up production and improving the country’s self-sufficiency.

According to the presentation, the economics of shipping petroleum products from Europe to West Africa and from Europe to the United States has weakened, with freight costs further affecting the competitiveness of the routes.

Source: punchng.com

FOLLOW US ON:

FACEBOOK

WHATSAPP CHANNEL

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Business

Falana tasks Senate on recovery of $123bn, N66bn oil funds, read details

Published

on

Human rights lawyer, Femi Falana, has asked the National Assembly to compel the recovery of $123.17bn in alleged outstanding oil royalties, taxes and dividends, alongside N66.4bn, from the Nigerian National Petroleum Company Limited and other oil and gas companies.

In a letter dated 28 October, 2026, and titled ‘Request to Recover Dividends, Taxes and Royalties Worth $123.17bn and N66.4bn from NNPC and Other Companies and Remit Same to the Federation Account’, Falana urged the National Assembly to ensure that the alleged outstanding revenues were recovered and remitted to the federation account.

He warned that he would institute legal proceedings at the Federal High Court if the authorities failed to initiate measures to recover the funds within 14 days of receiving the letter.

In an acknowledged copy of the letter made available to The PUNCH on Thursday, the senior advocate said the outstanding revenues covered several categories, including $62bn in unpaid oil royalties, $23.1bn in alleged unremitted dividends from Nigeria LNG Limited, $6.071bn in outstanding industry revenues, and claims relating to stolen crude oil and refinery rehabilitation contracts.

The letter also cited a Supreme Court consent judgment delivered on 20 October, 2018, which it said directed the Federal Government to collect outstanding royalties accrued over 18 years under the Deep Offshore and Inland Basin Production Sharing Contracts Act.

According to Falana, the governments of Akwa Ibom, Bayelsa and Rivers states had approached the Supreme Court to compel the Federal Government to enforce the law, which provided for an upward review of royalties when international crude oil prices exceeded $20 per barrel.

He said a committee constituted by the Office of the Attorney-General of the Federation subsequently determined that $62bn in royalties had not been collected from international oil companies.

Falana added that Akwa Ibom and Rivers states later obtained a Federal High Court judgment for a combined $3.3bn, while Bayelsa State secured a separate judgment for $951m over their alleged entitlements from the outstanding royalties.

See also  FTSE re-entry triggers foreign demand for Nigerian equities

He said the Federal Government had yet to comply with the judgments.

The lawyer also called for the recovery of $29bn linked to alleged crude oil theft and undeclared exports, citing investigations by the Nigerian Maritime Administration and Safety Agency and the House of Representatives.

He said lawyers engaged by NIMASA discovered that about 60.2 million barrels of crude oil, valued at $12.7bn, allegedly stolen from Nigeria, were discharged at the Port of Philadelphia in the United States between 2011 and 2014.

According to the letter, the lawyers submitted their findings to the Office of the Attorney-General after which they filed nine civil cases at the Federal High Court in Abuja and Lagos to recover the value of the alleged stolen crude oil and liquefied gas.

Falana further cited a 2016 House of Representatives ad hoc committee investigation, which he said found that $17bn worth of crude oil and liquefied natural gas had been exported from Nigeria without proper records.

He said the committee found that the crude oil was discharged at the ports of Houston and Lake Charles in the United States.

He urged the National Assembly to direct the Economic and Financial Crimes Commission to pursue the recovery of the funds from the companies allegedly involved.

On the NLNG dividends, Falana alleged that NNPC had failed to remit $23.1bn due to the Federal Government from its 49 per cent shareholding in NLNG.

He explained that NLNG, established in 1989, had paid more than $47bn in dividends to its shareholders over 26 years, with the Federal Government’s share paid through NNPC.

The other shareholders listed in the letter are Shell, with 25.6 per cent; TotalEnergies, 15 per cent; and Eni International, 10.4 per cent.

Falana argued that the dividends received by NNPC on behalf of the Federal Government should have been transferred to the Federation Account in accordance with Section 162 of the 1999 Constitution, as amended.

See also  TUC urges subsidy for Dangote, modular refineries to lower fuel costs

He added that resolutions of the Senate and the House of Representatives calling for the remittance of the funds had allegedly been ignored.

The senior advocate also called for the recovery of $6.071bn and N66.4bn in outstanding revenues owed by oil and gas companies, citing the Nigerian Extractive Industries Transparency Initiative’s 2022/2023 Independent Oil and Gas Industry Report.

According to him, NEITI disclosed on 27 September, 2024, that the outstanding collectible revenues due to the Federal Government as of June 2024 stood at the stated amounts.

He said copies of the report were forwarded to both chambers of the National Assembly in November 2024 in line with the provisions of the NEITI Act.

Falana urged lawmakers to support NEITI in recovering the outstanding revenues without further delay.

The letter also questioned the outcome of the rehabilitation of the Port Harcourt, Warri and Kaduna refineries, for which the Federal Executive Council approved contracts totalling about $2.98bn in 2021.

It said the government approved $1.5bn for the rehabilitation of the Port Harcourt refineries in April 2021 and another $1.48bn for the Warri and Kaduna refineries in August of the same year.

Falana argued that NNPC announced in December 2024 that the Port Harcourt and Warri refineries had been substantially completed, while work on the Kaduna refinery was almost finished.

However, he cited NNPC’s subsequent announcement that the Warri refinery ceased operations on 25 January, 2025, following safety issues involving its crude distillation unit main heater. He also referred to the shutdown of the Port Harcourt refineries for planned maintenance in May 2025.

See also  Banks: Bad loans rise after CBN ends forbearance

He argued that the contractors had breached the terms of the rehabilitation agreements and called for the recovery of the contract sums.

“In view of the foregoing, we are compelled to request the Office of the Attorney-General to recover the total sum of $123.17bn and N66.4bn owed the Government of the Federation by the Nigerian National Petroleum Corporation Limited, and some oil and gas companies operating in Nigeria,” the letter stated.

Falana said recovering the funds would reduce the Federal Government’s dependence on external borrowing and provide additional revenue for the federation and the states.

He warned that failure to begin recovery measures within 14 days would prompt legal action.

“If you fail to initiate legal measures for the recovery of the aforesaid huge funds belonging to the Government of the Federation within 14 days of the receipt of this letter, we shall not hesitate to file the necessary processes in the Federal High Court with a view to compelling you to discharge the duty of your office,” he wrote.

Falana also defended his firm’s standing to pursue the matter, citing its involvement in drafting and submitting a bill to amend the Deep Offshore and Inland Basin Production Sharing Contracts Act in 2017.

He noted that the bill was adopted and sponsored by a senator, subsequently passing first reading in the Senate before the dissolution of the Eighth National Assembly. According to him, the Ninth National Assembly subsequently adopted and passed the amendment.

He recalled that the then President of the Senate, Ahmad Lawan, had said the amendment would increase the country’s revenue by at least $1.5bn annually.

Source: punchng.com

FOLLOW US ON:

FACEBOOK

WHATSAPP CHANNEL

TWITTER

PINTEREST

TIKTOK

YOUTUBE

LINKEDIN

INSTAGRAM

Continue Reading

Trending