The Dangote Petroleum Refinery has formally entered into a major offtake agreement with the nation’s leading oil marketers to supply between 60 and 65 million litres of Premium Motor Spirit (PMS) daily.
The agreement, announced on Tuesday marks the definitive end of Nigeria’s decades-long dependence on imported fuel and positions the country as a net exporter of refined petroleum products.
Aliko Dangote, President of the Dangote Group, confirmed the deal following a high-level facility tour by the leadership of NNPC Limited.
He disclosed that the refinery is now operating at a level that comfortably exceeds the national average consumption which typically sits between 50 and 60 million litres allowing the facility to export a surplus of up to 20 million litres daily to international markets.
“We have established a structured framework to ensure every drop of fuel required by Nigerians is supplied locally,” Dangote stated, adding that the move would permanently eliminate the supply instabilities and foreign exchange pressures associated with fuel imports.
The agreement involves a who’s who of the Nigerian downstream sector, including NNPC Retail, MRS Oil, TotalEnergies, 11 Plc (formerly Mobil), Ardova, and several other major indigenous marketers.
Under this revised distribution model endorsed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), the refinery will prioritize supply to marketers with established depot infrastructure to ensure efficient, nationwide reach and to curb the speculative practices that often lead to artificial scarcity.
Industry analysts emphasize that this domestic supply surge, which has already seen Dangote capture over 60% of the domestic market as of early 2026, will save the Nigerian economy billions of dollars annually in freight and import costs.
With the refinery hitting a record processing volume of 661,000 barrels per day surpassing its initial nameplate capacity Nigeria has effectively transformed from Africa’s largest importer of refined products into its most powerful energy hub.