Dangote Petroleum Refinery has reaffirmed its stance on the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), insisting it will not absorb what it describes as a disguised subsidy demand worth N1.505 trillion annually.
Gatekeepers News reports that in a statement signed by its management on September 17, 2025, the refinery said its earlier publication in major national dailies and online platforms stood unchallenged and that any party aggrieved should seek redress through legal means.
“Any party who feels aggrieved by the contents of the publication is entitled to seek redress through the appropriate legal channels, without recourse to any so-called seven-day notice. We are fully prepared to defend our position,” the statement read.
The Dispute
Dangote explained that the ongoing dispute stemmed from DAPPMAN’s insistence on receiving petroleum products via coastal logistics rather than lifting directly from its gantry. The refinery said this option would add N75 per litre in additional costs — N70 for coastal freight, NIMASA, and NPA charges, plus N5 for vessel pumping costs.
Based on daily consumption projections of 40 million litres of Premium Motor Spirit (PMS) and 15 million litres of Automotive Gas Oil (AGO), Dangote said this translates to an additional N1.505 trillion per year, which marketers expect the refinery to absorb and pass on to consumers.
“We have no intention of increasing our gantry price to accommodate such demands, nor are we willing to pay a subsidy of over N1.5 trillion — a practice that historically defrauded the Federal Government for many years,” the refinery declared.
Production and Exports
The refinery stressed that it has the capacity to meet Nigeria’s fuel demand, with a closing stock of 500 million litres of refined products in its tanks each month. Between June and September 2025, Dangote exported 3.23 million metric tonnes of PMS, AGO, and aviation fuel, while marketers imported 3.68 million metric tonnes in the same period — an action the refinery described as “dumping” harmful to the economy.
Commitment to Nigeria
Dangote reiterated its support for President Bola Tinubu’s economic reforms, particularly on fuel subsidy removal and efforts to stabilise the naira.
“We remain steadfast in supporting Nigeria’s progress, boosting forex earnings, creating jobs, and positioning the country as a refining hub,” the statement said.
The refinery added that it maintains strong ties with government agencies, while remaining committed to holding institutions accountable when necessary.
