The Dangote Petroleum Refinery has expanded its free petroleum products delivery programme to four additional states as part of efforts to cut distribution expenses and support lower petrol prices across Nigeria.
The newly included states are Kano, Imo, Anambra and Nasarawa. They join Lagos, Ogun, Rivers, Kaduna, Abuja and Delta, which were covered under the initial phase of the initiative.
Under the arrangement, the refinery bears the cost of transporting petroleum products to marketers, helping to reduce expenses associated with long-distance haulage. These costs typically include vehicle operations, drivers, insurance, road risks and other logistics.
The refinery said the move would bring products closer to independent petroleum marketers and reduce the financial burden involved in moving fuel from its facility to distant markets.
Fatima Aliko Dangote, Group Executive Director, Commercial Operations, Oil & Gas, WAEP and Fertiliser, Dangote Industries Limited, said the initiative was intended to ensure that the benefits of local refining extend to businesses and consumers.
She explained that removing transportation costs from the distribution chain could create more room for savings to be passed along to consumers through more competitive petrol prices.
The Independent Petroleum Marketers Association of Nigeria welcomed the expansion, saying it could ease some of the financial and logistical challenges faced by its members.
IPMAN National Publicity Secretary, Chinedu Ukadike, said marketers often have substantial funds tied up after paying for petroleum products while waiting several days or weeks for loading and transportation.
According to him, the refinery’s delivery arrangement could improve marketers’ cash flow by reducing the time and cost involved in getting products to their destinations.
The initiative is particularly expected to benefit marketers operating far from the refinery, where transportation costs can significantly increase the final price of petrol.
The expansion comes amid growing competition in Nigeria’s downstream oil sector as domestic refining capacity increases. The Dangote refinery, which has a stated capacity of 700,000 barrels per day, has continued to supply refined petroleum products to the Nigerian market while also serving international customers.
