HomeBUSINESSDangote Refinery acquires 4,000 new tankers to supply petrol, diesel direct to ...

Dangote Refinery acquires 4,000 new tankers to supply petrol, diesel direct to  manufacturers, telcos, aviation; to help cut production costs, boost economy

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Dangote Refinery acquires 4,000 new tankers to supply petrol, diesel; as Aliko delivers on promise to shake up oil industry

By Jeph Ajobaju, Chief Copy Editor

Dangote Refinery has announced plans to begin direct distribution of premium motor spirit (petrol) and automotive gas oil (diesel) to manufacturers, telecommunications firms, the aviation sector, and other large users.

Africa’s largest refinery disclosed on its X account that the shift will begin on  August 15, to cut out marketers who are sometimes hindrances instead of helpers in the distribution chain.

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The refinery said logistics costs would be free and the move is aim to boost the distribution network and national economic growth.

“Dangote Petroleum Refinery is pleased to announce the commencement of a significant national initiative designed to transform Nigeria’s fuel distribution landscape,” the statement said.

“Effective 15th of August 2025, the refinery will begin the distribution of premium motor spirit (PMS) and diesel to marketers, petrol dealers, manufacturers, telecom firms, aviation, and other large users across the country, with free logistics to boost the distribution network.

“To ensure smooth take-off of this scheme, Dangote Refinery has invested in the procurement of 4,000 brand-new compressed natural gas (CNG)-powered tankers.

“This phase of the program will continue over an extended timeframe. The refinery is also investing in compressed natural gas (CNG) stations, commonly referred to as daughter booster stations, supported by a fleet of over 100 CNG tankers across the country to ensure seamless product distribution.

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“This strategic program is part of our broader commitment to eliminating logistics costs, enhancing energy efficiency, promoting sustainability, and supporting Nigeria’s economic development.

“It affirms our dedication to improving the availability and affordability of fuel in support of broader efforts to strengthen the economy and improve the well-being of all Nigerians.

“Under this initiative, all petrol stations purchasing PMS and diesel from the Dangote Petroleum Refinery will benefit from this enhanced logistics support.

“Key sectors such as manufacturing, telecommunications, and others will also gain from this transformative initiative, as reduced fuel costs will contribute to lower production costs, reduced inflation, and fostered economic growth.

“Players in these key sectors and others can purchase directly from the Dangote Petroleum Refinery.

“In addition, the refinery will offer a credit facility to those purchasing a minimum of 500,000 liters – allowing them to obtain an additional 500,000 liters on credit for two weeks, under bank guarantee.

“This pioneering effort marks a major milestone in our vision to revolutionize Nigeria’s energy sector. Dangote Refinery is dedicated to ensuring that no place is left behind.

“Our goal is to provide equitable access to affordable fuel for all Nigerians, regardless of location, making energy more accessible and sustainable for everyone, wherever they may be.

“It is expected to revitalize previously inactive petrol stations, thereby driving job creation, stimulating small and medium-sized enterprises (SMEs), increasing government revenue, improving fuel access in rural and underserved communities, and strengthening investor confidence in Nigeria’s downstream petroleum sector.

“This initiative is in line with the Renewed Hope Agenda of His Excellency, President Bola Ahmed Tinubu, reflecting our shared commitment to economic progress, stability, and inclusive development.

“We sincerely thank the Federal Government for its continued support, especially through the Naira-for-Crude scheme, which has helped stabilize fuel supply amid global price volatility. It marks a major revolution in the midstream and downstream sectors and stands as a key example of President Bola Tinubu’s bold and reformative economic policies.”

The initiative will phase out Dangote Refinery’s partnership with filling station such as MRS, Optima, AP Ardova, and others that currently lift petrol and diesel from the refinery to end users.

Last week, Dangote Group President Aliko Dangote vowed major shakeups in Nigeria’s oil and gas downstream sector and this clearly is one of them.

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