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Independent marketers begin registration for Dangote direct fuel supply

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(DDM) – The Independent Petroleum Marketers Association of Nigeria (IPMAN) has commenced registration with the Dangote Refinery ahead of its planned direct distribution of petroleum products to retail outlets starting August 15, 2025.

DDM gathered that the initiative will see the refinery bypass traditional depots and intermediaries by supplying Premium Motor Spirit (PMS), diesel, and other petroleum products directly to marketers, petrol dealers, manufacturers, aviation companies, telecom firms, and other large consumers.

The Dangote Refinery, Africa’s largest single-train refining facility, had on June 15, 2025, announced its intention to deploy 4,000 newly acquired Compressed Natural Gas (CNG)-powered tankers for nationwide delivery.

This move is designed to enhance efficiency, reduce supply delays, and cut transportation costs in the nation’s petroleum value chain.

While some trade associations, including the Natural Oil and Gas Suppliers Association (NOGASA) and the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), have expressed concerns about being sidelined, IPMAN has embraced the plan, describing it as a welcome development that will boost Nigeria’s energy security.

Speaking to journalists, IPMAN’s National President, Alhaji Abubakar Maigandi, said members of the association are eagerly awaiting the start of direct product supply.

He noted that marketers have already begun cleaning and preparing their filling stations for the arrival of Dangote’s CNG-powered trucks.

“We have been holding meetings with him on how the system will go,” Maigandi explained. “We have authorised all our marketers to start registration.

Most have completed the process and are simply waiting for supply to begin.”

He recalled the repeated petrol scarcity that plagued the country in the past, stressing that the direct supply plan could help eliminate such challenges by ensuring steady distribution.

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Maigandi also addressed fuel pricing concerns, clarifying that the cost of PMS is influenced not only by global crude oil prices but also by exchange rates and other economic variables.

According to him, the Dangote Refinery has already reduced its gantry price from ₦840 per litre to ₦820 per litre, a move that is expected to influence pump prices nationwide once marketers finish recalibrating their pumps.

“It is not only the cost of crude oil that determines PMS prices,” he said.

“The dollar rate and other factors also play a role. We will release the new pump price soon after our calculations.”

The Dangote Refinery’s direct-to-market strategy is being closely watched as a potential game-changer in Nigeria’s downstream petroleum sector.

 


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