Nigeria’s Dangote Refinery has reached a significant milestone in its operations, with its aviation fuel now being exported to prominent international locations including Heathrow Airport in London, Iceland, and Tenerife.
According to reports by SP Global Commodity Insights, the refinery’s Nigerian-made jet fuel has rapidly gained traction in global markets, signaling a transformation in Nigeria’s position within the aviation fuel supply chain.
The refinery’s exports reflect a growing shift toward Nigeria becoming a net exporter of key oil products. Between January and October of this year, the majority of Dangote’s aviation fuel has been routed through the Lome transshipment hub off Togo.
Additionally, South Korea has emerged as a key export destination, with the country receiving a significant portion of Dangote’s naphtha output, estimated at 23,000 barrels per day. Other West African countries, including Ghana, have also benefitted from Dangote’s growing refinery capacity, with substantial volumes of gasoil being exported.
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The Dangote Refinery, which boasts a 650,000 barrels per day production capacity, is on track to increase its global export footprint as it scales up operations.
This expansion has not only positioned Nigeria as a key player in jet fuel exports but has also helped to significantly reduce the country’s dependence on imported aviation fuel.
According to Energy Intelligence, Dangote’s refinery now supplies at least two-thirds of Nigeria’s domestic jet fuel market, with imported volumes dropping from 13,000 barrels per day in 2023 to just 5,000 barrels per day in 2024.
“This is a major achievement for us,” said Foluso Sobanjo, Managing Director of Asharami Synergy, an energy company that now sources its jet fuel from Dangote.
Despite these successes, challenges remain. The Dangote Refinery has yet to reach full capacity, and its petrol production is currently limited.
The company has agreed to export 200,000 metric tons of petrol, a move that could spark domestic political debates due to Nigeria’s history of fuel shortages and high import costs.
Nigeria’s state oil company, NNPC, had previously relied on imports to meet around 350,000 barrels per day of petrol demand. With Dangote now exporting significant quantities of petrol, experts warn that this shift could affect global refining margins and stir domestic unrest.
Furthermore, the refinery’s commitment to producing high-quality fuel has prompted Nigeria’s fuel regulators to restrict the entry of low-cost, substandard imports.
The refinery’s impact on Nigeria’s economy and energy landscape continues to grow. As Dangote Refinery gradually scales up production, it is expected to not only meet domestic fuel demands but also contribute significantly to the country’s export revenue.
In the coming years, projections revealed that Nigeria’s fuel exports could increase substantially, with forecasts estimating nearly 50,000 barrels per day of gasoil being exported more than the country imports by 2026.
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Analysts have noted that Dangote’s refining operations are not only beneficial for Nigeria but also for the broader West African region, which stands to gain from a more stable and cost-efficient supply of refined petroleum products.
However, industry experts emphasized that balancing domestic needs with international demand will remain a delicate issue, particularly as the refinery’s output continues to rise.
