Dangote Refinery has raised concerns about a neighboring company’s alleged activities involving substandard fuel products.
According to Dangote, an international trading company has recently acquired a facility close to the refinery with the intention of blending and selling lower-quality petroleum products within Nigeria.
In an official statement, Dangote Refinery expressed concerns about how the operation might affect the Nigerian market and the growth of domestic oil refining.
The statement from Anthony Chiejina, the Group Chief Branding and Communications Officer of Dangote Refinery, described the potential impact of the alleged substandard products on the local economy.
According to Chiejina, “At the same time, an international trading company has recently hired a depot facility next to the Dangote Refinery, with the objective of using it to blend substandard products that will be dumped into the market to compete with Dangote Refinery’s higher quality production.
“This is detrimental to the growth of domestic refining in Nigeria. We should point out that it is not unusual for countries to protect their domestic industries in order to provide jobs and grow the economy. For example, the US and Europe have had to impose high tariffs on EVs and microchips in order to protect their domestic industries.”
These claims follow ongoing tensions between Dangote Refinery and local petroleum groups, including the Independent Petroleum Marketers Association of Nigeria (IPMAN) and the Petroleum Retail Outlet Owners Association of Nigeria (PETROAN).
Some members of these associations have recently voiced concerns about the pricing of products at Dangote Refinery. In response, the refinery defended its pricing structure, asserting that its rates are competitive and align with global market standards.
Despite the criticism, Dangote Refinery has remained firm, arguing that the lower prices some claim to be offering in the market often come with compromised quality. The refinery contends that these cheaper options are, in fact, substandard and may not meet the same production and safety standards as its own products.
According to the refinery, its Premium Motor Spirit (PMS) is priced at N960 per liter for ships and N990 per liter for trucks, reflecting what it describes as a commitment to quality and adherence to international benchmarks.
