Dangote Refinery Denies Fuel Export and Re-Import Allegations

Dangote Petroleum Refinery and Petrochemicals has denied claims that its petroleum products are exported to Lomé, Togo, and later re-imported into Nigeria. The company described the allegations as false, misleading, and without any commercial or operational basis.

In a statement, the refinery said it rarely responds to what it called baseless claims, but chose to address the issue to protect transparency and public understanding.

Refinery Rejects Re-Import Narrative

The company said no credible trade data or operational evidence supports the claim that its exported products return to Nigeria through third-party routes.

It stressed that all its export activities follow standard global trading practices and approved commercial channels.

Dangote Refinery said its core mandate focuses on strengthening Nigeria’s domestic fuel supply, not creating trade loops that undermine local consumption.

The company also warned that any system that encourages imported fuel to compete with locally refined products would contradict its operational goals.

Contract Rules Block Re-Importation

The refinery disclosed that all sales contracts and tender agreements include strict clauses that prohibit the resale or re-importation of its products into Nigeria.

It said buyers must comply with these terms, which form part of its compliance and monitoring framework.

According to the company, these safeguards ensure that products reach their intended export destinations without diversion into the domestic market.

Economics Make Re-Importation Unviable

Dangote Refinery also rejected the idea on economic grounds, saying the cost structure makes such a scheme commercially unrealistic.

It estimated that transporting fuel from Nigeria to Lomé and back into Nigeria would cost between $82 and $90 per metric tonne.

The company said such logistics costs, combined with shipping, storage, financing, and handling charges, would wipe out any possible profit margin.

It added that it does not offer export discounts that could support arbitrage 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 company said.

Traceability and Monitoring Systems

The refinery said it operates a full traceability system to track all shipments from loading points to final destinations.

It said its records include vessel details, lifting points, buyers, and declared export destinations.

According to the company, these systems ensure transparency and make it possible to track every cargo through the supply chain.

It maintained that its operations follow strict compliance standards and international trade requirements.

Commitment to Local Refining and Energy Security

Dangote Refinery said the allegations contradict its long-term mission of reducing Nigeria’s dependence on imported fuel.

It warned that any practice that encourages re-importation would weaken local refining, increase pressure on foreign exchange reserves, and slow industrial growth.

The company reaffirmed its focus on strengthening domestic fuel supply, improving energy security, and supporting Africa’s industrial development.

Industry Context

The clarification comes amid increased scrutiny of fuel trade routes in West Africa, especially through regional hubs like Lomé, which serve as key storage and redistribution points.

Industry analysts say such hubs often complicate tracking of final fuel destinations due to multi-layered trading structures.

However, operators insist that petroleum trade follows established international standards and contractual rules.

For now, Dangote Refinery maintains that no part of its export operations supports or enables re-importation into Nigeria.