Nigeria's Fuel Supply: Dangote Refutes Import Necessity

In Nigeria, Dangote Oil Refinery has a 500-million-litre petrol reserve, challenging marketers' import claims amid shortages. Despite Dangote's assertion of sufficient stock, local traders ramp up imports. Efforts focus on supplying local demand through naira-based crude sales, aiming to reduce dependency on imports.

The Dangote Oil Refinery, a critical player in Nigeria's energy landscape, holds a substantial stockpile of 500 million litres of petrol, according to its billionaire founder, Aliko Dangote. This announcement comes in response to claims by fuel marketers who argue that imports are needed to supplement domestic shortages.

Amid these tensions, Nigeria's President Bola Tinubu convened a high-level meeting with key stakeholders, including Dangote, to discuss policies requiring the state-owned NNPC to sell crude oil to the refinery in local currency. The objective is to alleviate forex pressure and enable the refinery to procure enough crude to reach its full production capacity.

Despite initial skepticism from traders about Dangote's capability to meet local petrol demand, the refinery has steadily increased its production since starting operations in September. President Tinubu urges industry players to ensure local supply sufficiency while emphasizing a strategic shift towards local naira transactions to curb heavy reliance on petrol imports.

(With inputs from agencies.)