The Dangote Petroleum Refinery has started exporting refined petroleum products to neighboring West African countries, marking a significant development in the region’s fuel market dynamics.
According to a Bloomberg report, data from Vortexa, Kpler, and Precise Intelligence revealed that a tanker, identified as the CL Jane Austen, recently transported over 300,000 barrels of gasoline from the refinery. The shipment was tracked to waters off Togo, where ship-to-ship transfers frequently occur, raising speculation about its final destination.
Last month, Ghana’s National Petroleum Authority (NPA) chairman, Mustapha Abdul-Hamid, indicated that the country was considering sourcing fuel from the Dangote Refinery to cut reliance on Europe. Currently, Ghana spends about $400 million monthly on fuel imports from Europe, and sourcing closer to home could reduce costs and ease inflationary pressures.
“If the refinery reaches its 650,000 barrels per day (bpd) capacity, Nigeria alone cannot consume all the production. Importing from Nigeria instead of Europe will lower freight costs and reduce overall prices for goods and services,” Abdul-Hamid stated at the OTL Africa Downstream Oil Conference in Lagos.
In addition to Ghana, countries like South Africa, Angola, and Namibia have initiated negotiations with the refinery for fuel imports. Talks are also underway with Niger, Chad, Burkina Faso, and the Central African Republic, signaling the refinery’s growing role in Africa’s energy market.
The refinery, with a capacity of 650,000 bpd, shipped its first cargo to Lagos last month, marking the beginning of its operational ramp-up. While the scale of current exports is modest compared to global gasoline markets, experts note that the refinery’s full-scale production could significantly influence regional supply chains and pricing.
The Federal Government recently ended the monopoly of the state-owned oil company in purchasing fuel from the Dangote Refinery for domestic use. While Nigeria continues to import fuel from Europe and the U.S., the refinery’s growing output suggests a potential shift in domestic and regional energy dynamics.
Industry analysts see the refinery’s operations as a major step toward addressing fuel shortages and high prices in Africa. However, whether a substantial portion of its production will be allocated for export remains uncertain.
