Nigeria: Dangote refinery begins fuel exports amid oil crisis

Nigeria’s Dangote refinery has begun exporting fuel to several African countries, as global oil prices rise amid disruptions linked to the ongoing Middle East conflict, reports Africanews with AP on March 23rd.

The company confirmed it has already sold 12 cargoes, totalling 456,000 tonnes, to nations including the Ivory Coast, Cameroon, Tanzania, Ghana and Togo. The move comes amid growing regional demand for fuel, as supply chains face pressure from instability affecting the Strait of Hormuz, a key global oil transit route.

A spokesman for the refinery said the decision to export was largely driven by the conflict, which has disrupted deliveries and increased demand across multiple markets. He added that interest has extended beyond Africa, particularly for jet fuel, although further details were not disclosed.

The Dangote refinery, located near Lagos, has a production capacity of 650,000 barrels per day, making it one of the largest in the world. The company says this allows it to meet Nigeria’s domestic needs while also supplying neighbouring economies, potentially strengthening energy security across West, East, and central Africa.

However, the development comes as fuel prices continue to climb domestically. In Lagos, petrol prices have risen sharply from around 830 naira per litre to over 1,300 naira in recent weeks, placing additional strain on consumers.

At the onset of the Middle East conflict, the refinery had pledged to prioritise the Nigerian market to help stabilise supply and limit price increases. The start of exports may raise questions about balancing domestic needs with growing international demand.

Before the refinery began operations in 2024, Nigeria—despite being Africa’s largest oil producer—relied heavily on imported fuel and frequently experienced shortages. The new exports mark a significant shift, positioning the country as a potential key supplier in the regional energy market.

The refinery’s expansion into export markets also signals a broader shift in Africa’s energy dynamics, as countries increasingly look within the continent for more reliable fuel supplies.

Africanews with AP, Maghrebi.org