Nigeria’s Dangote Petroleum Refinery has dismissed allegations that its refined petroleum products are exported to neighbouring Togo and later re-imported into Nigeria, describing the claims as unfounded, commercially illogical and inconsistent with its operating model.
In a statement issued on Tuesday, the refinery said reports suggesting that Premium Motor Spirit (PMS), commonly known as petrol, is shipped to Lomé and subsequently brought back into Nigeria lack credible evidence and fail to reflect the realities of international fuel trading.
The company said its primary objective remains strengthening domestic fuel supply and reducing Nigeria’s dependence on imported petroleum products, making any arrangement that encourages re-importation of its products contrary to its business strategy.
“Any practice that enables imports to compete directly with our own production clearly contradicts our objective,” the refinery stated, adding that all sales contracts and export agreements explicitly prohibit the resale or re-importation of its products into the Nigerian market.
Refinery Questions Economic Viability of Alleged Trade Route
Dangote Refinery argued that the economics of exporting fuel to Lomé and re-importing it into Nigeria do not support the allegations.
According to the company, estimated logistics costs associated with transporting products from the refinery to Togo and back to Nigeria range between $82 and $90 per metric tonne, significantly reducing profitability and making such transactions commercially unattractive.
The refinery noted that it does not offer export discounts that could create arbitrage opportunities between export and domestic markets.
“Simply put, no rational producer would incur additional shipping, storage, financing and handling costs only for products to re-enter and compete in its primary market,” the statement said.
Emphasis on Supply Chain Transparency
The company also highlighted its product-tracking and compliance systems, saying it maintains detailed records covering lifting points, nominated vessels, trading counterparties and declared destinations for all exports.
According to the refinery, these traceability measures ensure transparency throughout the supply chain and provide visibility over the movement of products after they leave its facilities.
Management said any suggestion that it facilitates or tolerates re-importation is inconsistent with its contractual safeguards and compliance procedures.
Focus on Energy Security and Import Reduction
The refinery reiterated its commitment to supporting Nigeria’s energy security agenda and reducing the country’s reliance on imported fuels.
It argued that encouraging fuel re-importation would undermine local refining capacity, place additional pressure on foreign exchange reserves and weaken broader industrialisation efforts.
The statement comes as the 650,000-barrel-per-day Dangote Refinery continues to expand operations and increase supplies to Nigeria’s domestic fuel market, a development widely viewed as critical to reducing fuel import dependence and improving long-term energy security in Africa’s largest economy.
The company said it remains focused on supporting local refining, strengthening fuel availability and contributing to industrial development across Nigeria and the wider African region.
The Management of Dangote Petroleum Refinery and Petrochemicals has noted with concern the circulation of unfounded and misleading claims suggesting that its petroleum products are exported to Lomé and subsequently re-imported into Nigeria.
The company in a statement stated that, as a matter of policy, the Company does not ordinarily engage with baseless and unsubstantiated allegations. However, in the interest of transparency and to set the record straight, Management considers it necessary to address this deliberate misinformation.
Management states unequivocally that the allegation is not supported by verifiable trade data, commercial logic, or the operational realities of Dangote Refinery.
A core mandate of the refinery, according to the statement is to strengthen domestic supply and remain a leading provider of petroleum products in Nigeria. Any practice that enables imports to compete directly with its own production clearly contradicts this objective. Accordingly, Management confirms that all sales contracts and tender agreements expressly prohibit the resale or re-importation of Dangote Refinery products into Nigeria.
Furthermore, Management emphasises that the economics of the purported trade route are fundamentally flawed. Estimated logistics costs for transporting products from the refinery to Lomé and back into Nigeria range between US$82–90 per metric ton. Such additional costs would significantly erode margins and render the transaction commercially unviable.
“Dangote Refinery does not provide export discounts sufficient to offset these costs or create arbitrage opportunities between export and domestic markets. Simply put, no rational producer would incur additional shipping, storage, financing, and handling costs only for products to re-enter and compete in its primary market.”
Management also highlights that the refinery maintains stringent product traceability protocols, including detailed records of lifting points, nominated vessels, counterparties, and declared destinations. These measures ensure full visibility and accountability across the supply chain.
The statement insisted that any “claim suggesting that the refinery facilitates or tolerates re-importation is inconsistent with its contractual safeguards and established compliance standards.
The refinery has consistently advocated for reducing Nigeria’s dependence on imported petroleum products. Management underscores that encouraging or enabling re-importation would undermine local refining efforts, strain foreign exchange reserves, and weaken national industrial growth, positions that are contrary to its core objectives.
Management reiterates that there is no strategic, economic, or operational basis for the claim that Dangote Refinery exports products for re-importation into Nigeria. The allegation is entirely unfounded and does not withstand scrutiny when measured against market logic, contractual frameworks, and industry practices.
The statement concluded that “Dangote Refinery remains focused on its mission to enhance energy security, support local refining, and contribute meaningfully to Africa’s industrial development”