Dangote Petroleum Refinery has announced plans to begin the nationwide distribution of Premium Motor Spirit (PMS) and diesel starting August 15, 2025, marking a significant step towards reshaping Nigeria’s downstream petroleum market.
As part of the initiative, the company has also deployed 4,000 brand-new Compressed Natural Gas (CNG)-powered tankers to support nationwide distribution, with free logistics support will be provided to registered petrol dealers, marketers, manufacturers, telecom firms, aviation operators, and other consumers.
This disclosure was made on the company’s official X (formerly Twitter) page on Sunday.
“Dangote Petroleum Refinery is pleased to announce the commencement of a significant national initiative designed to transform Nigeria’s fuel distribution landscape.
“Effective 15th of August 2025, the Refinery will begin the distribution of Premium Motor Spirit (PMS) and diesel to marketers, petrol dealers, manufacturers, telecoms firms, aviation, and other large users across the country, with free logistics to boost the distribution network,” the source read in part.
To support nationwide delivery, Dangote Refinery is establishing CNG daughter booster stations, mini distribution hubs backed by over 100 CNG-powered tankers. The move aims to cut logistics costs, expand fuel access, and promote cleaner energy across Nigeria.
Impact on the economy
The initiative is aimed at not only improving availability but to ensuring affordability and sustainability in fuel distribution.
The initiative is expected to deliver wide-ranging economic benefits by reviving dormant petrol stations, lowering distribution and production costs, and stimulating job creation across the fuel supply chain.
It will also support the growth of small and medium-sized enterprises (SMEs) by easing their energy burden, while significantly improving fuel access in underserved and rural areas. Altogether, these outcomes are poised to strengthen investor confidence in Nigeria’s downstream petroleum sector and contribute to broader economic stability.
By reducing operating costs for businesses, the refinery believes the initiative will help ease inflation and support economic recovery, especially in rural and economically fragile regions
More insights
Under the new distribution programme, direct sales will be available to fuel marketers, manufacturers, telecom companies, and other major users. Petrol stations sourcing PMS or diesel directly from the Dangote Refinery will benefit from the complimentary delivery service.
- The refinery has introduced a credit facility for bulk buyers. Companies purchasing a minimum of 500,000 litres will be eligible for an additional 500,000 litres on credit, repayable within two weeks, subject to a valid bank guarantee.
- The company also acknowledged the Federal Government’s support through the Naira-for-Crude exchange scheme, which it said has helped stabilise fuel supply amid global market volatility.
The company says it remains committed to making energy affordable, accessible, and sustainable for all Nigerians, rural or urban, small-scale or industrial.
