- Dares DAPPMAN – Go to Court
Dangote Petroleum Refinery has alleged that members of the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) requested an effective subsidy of about ₦1.505 trillion annually, a move that would add ₦75 per litre to the cost of petrol and diesel if implemented.
In a press release, the refinery explained that while it currently sells products at its gantry price, marketers are insisting on taking delivery through coastal logistics, rather than lifting products directly from the refinery. Dangote said this arrangement would attract ₦70 per litre in coastal freight, NIMASA, NPA and other associated charges, plus ₦5 per litre pumping cost into vessels, resulting in higher retail prices.
If passed on to consumers, the refinery warned, pump prices could rise to as much as ₦950 per litre for petrol and ₦1,090 per litre for diesel in some parts of the country. Nigeria consumes an estimated 40 million litres of Premium Motor Spirit (PMS) and 15 million litres of Automotive Gas Oil (AGO) daily, meaning the additional costs would accumulate to ₦1.505 trillion (₦1,505,625,000,000) annually.
The company stated that it would neither increase its gantry price to accommodate such demands nor assume responsibility for costs it described as “subsidy.” It suggested that recent criticisms of its operations were linked to its refusal to grant marketers’ requests.
Dangote Refinery also maintained that it has the capacity to meet local demand while supporting exports, disclosing that it keeps a monthly closing stock of about 500 million litres of refined products. Between June and September 2025, the refinery exported 3,229,881 metric tonnes of petrol, diesel, and aviation fuel, while marketers imported 3,687,828 metric tonnes during the same period. The refinery described these imports as “dumping” with negative implications for the Nigerian economy.
The statement further emphasized the company’s contributions to the government’s reform agenda, including stabilising the Naira, cushioning the effects of subsidy removal, strengthening Nigeria’s refining capacity, generating foreign exchange, and creating jobs.
Dangote also reiterated that it is open to partnerships with “responsible stakeholders” but insisted it would resist what it considers unreasonable demands. It stressed that any aggrieved parties, including DAPPMAN, are free to pursue the matter through the courts rather than issue ultimatums.
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