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Dangote Cuts Out Middlemen, Oil Suppliers Cry Foul

Oil Gas and Energy Journal​

There’s fresh tension in Nigeria’s oil industry as Dangote Refinery rolls out a bold new move, selling petrol and diesel directly to big companies like MTN, top hotels, and other major users starting August 15.

But this direct-to-customer plan is already causing trouble.

The Natural Oil and Gas Suppliers Association of Nigeria (NOGASA) says the move sidelines fuel suppliers and threatens thousands of jobs.

“Dangote is now selling directly to end users. What happens to all of us in the supply chain, our drivers, our trucks, our staff?” asked NOGASA President Benneth Korie.

He warned that this could wreck the traditional fuel distribution structure, making many businesses irrelevant and workers jobless.

In response, NOGASA is planning a major meeting on July 31 in Abuja to decide their next move and downing tools is one of the options on the table.

The group insists Dangote should still work with fuel suppliers instead of cutting them off completely.

As August 15 approaches, it’s clear that this fuel fight is just getting started.