The Dangote Petroleum Refinery has warned that it may export surplus petrol as rising imports make it increasingly difficult to plan production and manage fuel inventories for the Nigerian market.

The refinery said imported Premium Motor Spirit (PMS) accounted for about 43 per cent of petrol supplied in Nigeria in July, despite its capacity to produce enough fuel to meet and exceed domestic demand.

It said the continued issuance of import licences had created uncertainty over the volume of petrol expected into the country, making it difficult to determine how much fuel should be produced and held in storage for local consumers.

Since commencing operations, the refinery said it had maintained substantial petrol reserves to support steady supply across the country. This, it noted, has involved significant expenditure on storage facilities, logistics and working capital.

However, the company said holding large volumes of petrol without adequate information about future imports was becoming commercially unsustainable.

Dangote Refinery explained that where imported products reduce the amount of locally refined petrol absorbed by the domestic market, surplus stocks would have to be moved to other markets.

The refinery said its growing petrol exports should therefore not be viewed as a sign that it cannot meet Nigerian demand. Rather, it said the exports were a way of managing excess inventory and avoiding additional storage and financing costs.

It also cautioned that any future petrol shortages caused by excessive imports or the inability of domestic refiners to accurately forecast market demand should not be blamed on the Dangote refinery.

The company called for greater transparency in petrol import volumes, improved coordination among market participants and policies that would support local refining.

According to the refinery, such measures would strengthen Nigeria’s energy security, reduce foreign exchange pressures and help maximise the benefits of investments in domestic refining capacity.