Tensions are boiling over between Nigeria’s major fuel marketers and the Dangote Petroleum Refinery. On September 17, 2025, the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) fired off a stern warning to the refinery.
They demanded a full retraction of recent claims that accused their members of diverting fuel products to neighboring countries. If the refinery doesn’t back down or show solid proof within seven days, DAPPMAN says it will head straight to court.
It bears mentioning that the clash kicked off after Dangote’s press release on September 15, 2025. In that statement, the refinery pointed fingers at some marketers for smuggling refined products across borders.
This, they argued, was hurting local supply chains and driving up costs for everyday Nigerians. But DAPPMAN isn’t buying it. In their own release the next day, the group called the accusations “misleading and factually incorrect.” They stressed that smuggling is a serious national security issue, and if any member is involved, government agencies should handle the probe—not the refinery.
DAPPMAN’s leaders went further, flipping the script on Dangote. They claimed the refinery is the one playing favorites by giving big discounts, over $40 per metric ton to foreign buyers. Meanwhile, Nigerian marketers are stuck using only the more expensive gantry loading method at the facility. No access to coastal vessels for them, which makes transport to depots costlier. “This setup disadvantages local businesses,” a DAPPMAN spokesperson noted in the statement.
The marketers also hit back on quality concerns. Dangote had suggested that imported fuels from DAPPMAN members contain too much sulfur, over 50 parts per million which violates regulations.
However, DAPPMAN countered that the refinery itself has sought waivers from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to sell high-sulfur products. This, they say, goes against Section 317(11) of the Petroleum Industry Act (PIA). “We dare the refinery to publicly deny these facts,” the group challenged.
Also, DAPPMAN denied any role in stirring up trouble with the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG). The refinery had accused them of backing a potential strike that could disrupt fuel distribution. Instead, DAPPMAN positioned itself as a peacemaker, working to keep supplies flowing smoothly and avoid chaos on the roads.
Dangote didn’t stay silent for long. Late on September 17, 2025, the refinery issued a sharp rebuttal. They dismissed the seven-day ultimatum as unnecessary drama. “Anyone upset by our words can take it to the courts—we’re ready to fight there,” they declared.
The core issue, according to Dangote, boils down to money. Marketers want the refinery to foot a massive bill: an annual subsidy of N1.505 trillion. That’s the amount needed to let them match Dangote’s low gantry prices at their own depots in places like Apapa.
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Breaking it down, Dangote explained that coastal shipping adds about N75 per liter in extra fees for things like freight, Nigerian Maritime Administration and Safety Agency (NIMASA) charges, and Nigerian Ports Authority (NPA) costs. Plus, there’s N5 per liter just to pump fuel into vessels.
Based on daily demand—40 million liters of Premium Motor Spirit (PMS) and 15 million liters of Automotive Gas Oil (AGO)—that subsidy demand hits N1,505,625,000,000 each year. “We’re not raising prices to cover this, and we’re done with old subsidy scams that cheated the government,” the refinery stated firmly. They invited marketers to skip the hassle and load directly from the gantry, cutting out those logistics costs entirely.
The spat has drawn in political heavyweights too. On September 17, 2025, Senator Ali Ndume from Borno South jumped to Dangote’s defense. He slammed what he called a “coordinated media attack” on the refinery. Ndume reminded everyone of past government efforts to boost local refining.
Under previous administrations, licenses went out to many Nigerians for big refineries, but few followed through. “They pocketed crude oil perks without building a thing,” he said. Even modular refinery permits issued during the Muhammadu Buhari era gathered dust. Now, those same players are crying monopoly, Ndume argued.
He praised Dangote’s bold move to build a 650,000-barrel-per-day facility, a game-changer for Nigeria’s energy independence. “Without risks like this, we’d still be begging for imported fuel,” the senator added.
