In a decisive move set to transform Nigeria’s downstream petroleum sector, Dangote Petroleum Refinery has announced it will commence the nationwide distribution of Premium Motor Spirit (PMS) and diesel from 15 August 2025.
The rollout marks a pivotal shift in the country’s fuel logistics landscape, one that not only removes traditional transportation bottlenecks but also positions Dangote to outmanoeuvre competitors still reliant on fuel imports.
At the heart of this strategy is a commitment to efficiency, accessibility, and sustainability. To drive the initiative, the company has invested in 4,000 brand-new Compressed Natural Gas (CNG)-powered tankers as a game-changing logistics asset aimed at overcoming long-standing distribution challenges.
According to the Dangote Group in a statement on Sunday, these tankers will ensure seamless delivery of fuel to marketers, filling stations, manufacturers, aviation firms, telecoms operators, and other major consumers across the nation.
Dangote’s aggressive infrastructure investment does not stop at tankers as the refinery is also rolling out a national network of CNG daughter booster stations, supported by a fleet of over 100 CNG tankers, to further enhance delivery speed and reduce environmental impact.
This dual-pronged approach is expected to slash logistics costs, boost energy availability, and improve operational efficiency across Nigeria’s fuel value chain.
In a further boost to stakeholders, Dangote Refinery is offering credit support to bulk buyers. It explained that distributors purchasing a minimum of 500,000 litres will qualify for an additional 500,000 litres on credit for a two-week period, subject to a bank guarantee.
This innovative financing model is designed to ease liquidity constraints and encourage broader market participation.
For Dangote, this is more than a distribution plan but a strategic disruption, as the move may further dismantle the old, inefficient import-based system and replacing it with a modern, locally anchored solution that guarantees availability, affordability, and reliability of fuel across Nigeria.
The initiative directly challenges fuel importers who have continued to patronise foreign supply chains, even after Dangote Refinery began local refining operations. By eliminating the need for costly and delay-prone imports, Dangote is positioning itself as Nigeria’s dominant energy provider, with a logistical capacity that rivals and surpasses legacy systems.
The distribution programme is expected to revitalise dormant petrol stations, particularly in rural and underserved areas, creating jobs, stimulating SMEs, and enhancing government revenue.
Sectors such as manufacturing and telecommunications will also benefit from lower fuel costs, improved supply reliability, and reduced inflationary pressures.
“This rollout aligns with the Renewed Hope Agenda of President Bola Ahmed Tinubu,” the statement noted. “It is a practical demonstration of our shared commitment to economic transformation, inclusive development, and energy security.”
The company extended appreciation to the Federal Government for its ongoing support, particularly through the Naira-for-Crude scheme, which has helped stabilise domestic fuel supply amid global volatility.
The company added that registration and Know Your Customer (KYC) verification for marketers, dealers, and corporate buyers has also commenced, running from 16 June to 15 August 2025.
