The President and Chief Executive of Dangote Industries Limited, Aliko Dangote, has condemned the crude oil supply methods of international oil firms, asserting that Nigeria should not need to import crude or refined petroleum products if current laws are properly implemented.
During a visit from the South South Development Commission (SSDC) to the Dangote Petroleum Refinery and Fertiliser Complex, Dangote remarked that the Petroleum Industry Act (PIA) has already created a framework that emphasises domestic crude supply. However, he observed that certain operators are taking advantage of loopholes that compromise the law’s purpose.
Dangote pointed out that multiple oil companies frequently divert Nigerian crude to their trading subsidiaries overseas, particularly in Switzerland, which compels local refineries to purchase from these foreign entities at a markup of four to five dollars per barrel.
“The crude is there. It is not an issue of scarcity. However, the companies redirect it all to their trading divisions, and we have to buy at a premium. On the other hand, we don’t get any premium for our own products,” he explained.
He revealed that he has formally approached the Federal Government, requesting it to impose royalties and taxes based on the actual cost paid for crude, to avert revenue losses and discourage practices that are detrimental to local refineries.
Dangote mentioned that the NNPC remains the main supplier fulfilling domestic supply commitments, delivering five to six cargoes each month. However, the refinery needs as many as twenty cargoes monthly starting from January, to function at optimal capacity.
He characterised the current scenario as “unsustainable for a nation aiming for real industrial advancement,” arguing that Africa’s economic future hinges on value addition instead of continuous raw material exports.
“It is disgraceful that while we exported one point five million tonnes of gasoline in June and July, the country was inundated with imported products. That constitutes dumping,” he remarked.
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Regarding a report by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), which indicated that the refinery provided only 17.08 million litres of the 56.74 million litres consumed in October 2025, Dangote stated that the refinery exports its products if the regulators continue to allow dumping by marketers.
Dangote assured that the refinery would deliver 50 million litres of petrol daily during the holiday season, with a total of 1.5 billion litres planned for December 2025 and another 1.5 billion litres allocated for January 2026.
He praised President Bola Tinubu’s Nigeria First Policy but emphasised the necessity for legislative support to enhance the policy’s efficacy.
Dangote further clarified that the company’s expansion plans correspond to Africa’s rapidly increasing demand for petroleum products, estimated at around four million barrels daily, while regional refining capacity remains below one and a half million barrels.
Discussing Nigeria’s goal to achieve a one trillion-dollar economy, Dangote asserted that this target is feasible through disciplined policy implementation, enhanced power generation, and a resurgence of the steel sector.
“It is impossible to construct a great nation without power and steel. Every bolt and nut used here has been imported. That should not be the case. Nigeria should be supplying steel to smaller African nations,” he expressed.
He also highlighted opportunities for collaboration with the SSDC in agriculture, especially in soil testing and tailored fertiliser formulation, stating that fertiliser misuse remains a significant reason for the minimal productivity gains of Nigerian farmers.
“We are establishing advanced soil testing laboratories. Starting next year, we aim to collaborate with the SSDC to empower farmers by offering precise soil evaluations and customised fertiliser mixtures,” Dangote added.
He concluded by stating that, despite the global momentum towards electric vehicles, Africa will still depend heavily on petroleum products due to accessibility and affordability issues regarding power.
