… expands network to accommodate MEMAN members, projects 15–20ml export surplus
Oredola Adeola
Dangote Petroleum Refinery & Petrochemicals has announced that, under a revised distribution framework endorsed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority, it will channel nationwide supply of Premium Motor Spirit (petrol) through major marketing companies, delivering between 60 and 65 million litres daily to meet domestic demand.
The refinery said the new arrangement positions it to fully satisfy Nigeria’s estimated average daily petrol consumption, which stands between 50 and 60 million litres, while also creating a surplus of between 15 and 20 million litres for export.
Management of the refinery confirmed the development in a statement issued on Tuesday, noting that the updated distribution model broadens participation across the downstream value chain.
Advisors Reports that the revised framework is a shift from the refinery’s earlier reliance on sole off takers such as MRS Oil Nigeria Plc and Nigerian National Petroleum Company Limited Retail and few of other depot owners.
Under the new structure, additional major marketers with extensive distribution infrastructure have been integrated into the supply network.
These include 11 Plc, TotalEnergies Marketing Nigeria Plc, Rainoil Limited, Northwest Petroleum & Gas Company Limited, Ardova Plc, Bovas & Company Limited, AA Rano Nigeria Limited, AYM Shafa Limited, Conoil Plc and Masters Energy Oil and Gas Limited.
This development is coming days after the management of the refinery had a structured engagement and market alignment with several depot owners on trade terms, loading modalities, and pricing structures.
President of Dangote Group, Aliko Dangote, disclosed the development in Lagos, confirming that a structured offtake agreement has been concluded with selected marketers to ensure nationwide distribution and eliminate supply instability.
“We have agreed an offtake framework to supply up to 65 million litres daily for the domestic market,” Dangote said.
“Any surplus, estimated at between 15 and 20 million litres, will be exported,” he said.
The structured model, according to the company, is designed to eliminate supply bottlenecks and curb speculative practices that have historically triggered disruptions.
For decades, Africa’s largest crude oil producer relied heavily on imported refined products, exposing the economy to foreign exchange volatility, logistics disruptions and periodic shortages.
With local refining now exceeding national demand, the country stands to conserve billions of dollars annually in foreign exchange previously spent on petrol imports.
Analysts say this would ease pressure on the naira, strengthen external reserves, and improve trade balance stability.
Engr. Bayo Ojulari, Group Chief Executive Officer of NNPC Limited, had during a recent visit to the facility described the refinery as a transformative national asset capable of redefining Nigeria’s energy security architecture and accelerating industrial growth.
He described the refinery as a source of national pride and an example of Nigeria’s ability to leapfrog legacy industrial constraints through the adoption of best-in-class global technology.
Commending its operational performance, Ojulari said the plant had exceeded expectations.
“This plant was designed for 650,000 barrels per day. None of us thought it would even touch 550,000. What we saw live today was 661,000. These are live parameters, not reports or photographs,” he stated.
