- Aliko Dangote confirms offtake agreement with 12 major marketers to supply the domestic market.
- The refinery’s daily output of 65 million litres exceeds Nigeria’s average consumption of 50–60 million litres.
- Excess production of up to 20 million litres daily is slated for export to West and Central Africa.
The Dangote Petroleum Refinery has finalized a massive offtake agreement with 12 major petroleum marketing companies.
Eko Hot Blog reports that the deal ensures the distribution of 60 million to 65 million litres of Premium Motor Spirit (petrol) daily across the federation.
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Announced by the President of the Dangote Group, Aliko Dangote, in Lagos, this structured framework is designed to eliminate the recurring fuel shortages that have plagued the country for decades while establishing Nigeria as a self-sufficient energy hub.
The scale of the agreement is significant, considering that Nigeria’s national daily consumption typically fluctuates between 50 million and 60 million litres.
By providing up to 65 million litres, the refinery is positioned to fully satisfy domestic demand, with the capacity to release approximately 1.8 billion to 2 billion litres monthly.
Aliko Dangote noted that any surplus production estimated at 15 million to 20 million litres daily, will be earmarked for export, helping to bolster Nigeria’s external reserves and improve the national trade balance.
The distribution network for this initiative includes the industry’s most prominent players.
The selected marketers are MRS Oil Nigeria Plc, NNPC Limited Retail, 11 Plc, TotalEnergies, Rainoil Limited, Northwest Petroleum, Ardova Plc, Bovas & Company, AA Rano, AYM Shafa, Conoil Plc, and Masters Energy.
Under the oversight of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), this model aims to streamline logistics, curb speculative hoarding, and bring much-needed stability to pump prices across the 36 states and the FCT.
This latest development builds on a foundation laid in October 2025, when initial agreements were struck to address supply volatility.
The Group CEO of the NNPC, Bayo Bashir Ojulari, lauded the refinery’s performance, revealing that the plant has already exceeded its nameplate design.
While built for 650,000 barrels per day, live parameters recently showed the facility processing 661,000 barrels.
Ojulari described the refinery as a transformative asset capable of completely re-engineering Nigeria’s energy security architecture.
For a nation that has historically relied on expensive imports to meet its fuel needs, the commencement of this full-scale distribution marks a pivotal economic shift.
The reliance on imported refined products previously exposed the Nigerian economy to global supply shocks and foreign exchange volatility.
With the Dangote Refinery operating at high capacity, Nigeria is expected to save billions in foreign exchange, effectively ending the era of “fuel subsidy” tensions and positioning the country as a net exporter of refined products in the West African sub-region.
