Di fuel supply agreement between Dangote Petroleum Refinery and 20 big petroleum marketers don scatter over price disagreement, just as petrol import sharply increase for November 2025.
Under di arrangement, wey dem agree for October 2025, di 20 marketers suppose dey lift about 600 million litres of petrol every month from Dangote Refinery, with each marketer collecting around 30 million litres. Di deal na pilot plan to stabilise fuel supply and reduce pump price.
But industry sources confirm say di agreement no last reach one month as pricing issues force di parties to part ways.
Figures from Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) show say petrol import for November 2025 rise sharply reach 1.563 billion litres. Di authority disclose dis for im November 2025 Fact Sheet on di state of di downstream sector.
National Public Relations Officer of Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Ukadike, earlier talk say Dangote and marketers agree say only 20 selected depot owners go serve as major distributors to others, as part of plan to reduce middlemen and control price.
“At di meeting, Dangote say dem go sell only to 20 marketers, and each go lift minimum of two million litres, wey go total about 600 million litres monthly,” Ukadike talk.
However, two industry insiders say di deal start get problem for November when global petrol prices fall below Dangote gantry price. According to dem, di agreement include monthly price review, but Dangote no quick adjust price in line with international market.
Initially, marketers dey buy petrol at N806 per litre for coastal delivery and N828 per litre at di gantry. Dangote also stop direct sales to small independent marketers, forcing dem to buy from di approved 20 marketers.
“But for November, importers notice say international petrol price don drop reach around N750 per litre, while Dangote still dey sell higher. Dis make many marketers rush go import fuel,” one source explain.
As a result, imported petrol flood di market for November. Data from Major Energies Marketers Association of Nigeria (MEMAN) and petroleumprice.ng show say average landing cost of imported petrol drop to about N829.77 per litre by end of October, lower than Dangote ex-depot price at di time.
Though Dangote later reduce gantry price to N699 per litre, di lowest for 2025, industry players say di reduction come too late. Many depot owners and marketers wey buy fuel at higher price suffer losses, while smaller marketers struggle adjust.
By October 24, 2025, Dangote gantry price still dey around N877 per litre, while imported fuel dey land cheaper, further weakening di local supply arrangement.
Industry watchers say di collapse of di deal show say pricing transparency and flexible review remain key if local refining go truly reduce Nigeria dependence on fuel import.
