Revealed: Why Dangote Refinery dumped fuel marketers

3 hours ago 5
  • Dangote Refinery has reportedly dumped its substance selling partners, citing racketeering
  • A missive by the refinery’s absorption said the discounted substance income suspension begins July 13, 2025
  • Experts person allayed fears that the determination whitethorn pb to a hike successful petroleum merchandise prices

Legit.ng’s Pascal Oparada has reported connected tech, energy, stocks, concern and the economy for implicit a decade.

In a melodramatic twist that sent shockwaves passim the downstream petroleum industry, the Dangote Petroleum Refinery Limited has ended its woody and allegedly dumped its nonstop marketers.

The improvement comes arsenic the installation plans to commencement an ambitious nationwide substance organisation connected August 15, 2025.

Dangote Refinery has ended its substance  discount and dropped marketersDangote Group alleges racketeering successful its substance discount, ends the scheme. Credit: Bloomberg/Contributor
Source: Getty Images

Dangote ends substance discount woody with marketers

According to reports, a missive by the mega refinery to each its spouse marketers and filling stations dated July 13, 2025, and signed by Dangote Group’s Executive Director of Commercial Operations, Fatima Dangote, disclosed that the refinery has suspended its discounted substance proviso scheme.

The missive cited racketeering by marketers for the suspension.

According to the letter, the discounted terms offers to spouse retailers ended effectual July 13, 2025, and the installation is moving to restructure the scheme.

It, however, asked marketers to research different incentives and reward structures offered by the refinery.

Filling stations selling Dangote petrol

Energy argumentation experts person said the determination whitethorn beryllium connected to the planned nationwide rollout of petroleum products by the refinery.

Some of the retail marketers nether the 650,000 bpd-capacity refinery see MRS Oil, Ardova, Hyde Energy, Optima Energy, Heyden Petroleum, and Techno Oil.

A anterior study by Legit.ng disclosed that the Lekki-based refinery precocious onboarded 15 caller marketers, which see TotalEnergies, among others.

Marketers’ mixed absorption to Dangote substance plans

Reports person said that marketers nether the umbrella of the Independent Petroleum Marketers Association of Nigeria (IPMAN) had planned to follow the refinery’s substance organisation plan.

However, the Petroleum Products Retail Outlets Owners Association of Nigeria has objected to the planned nationwide substance rollout by the refinery implicit fearfulness of losses.

The refinery precocious reduced its ex-depot prices to N820 per litre aft depot owners tried to undercut it with cheaper rates.

Will marketers summation petrol prices?

Adeola Yusuf, vigor argumentation expert and Team Lead astatine Platforms Africa, stated that the deboarding of marketers whitethorn not pb to a substance terms summation from the refinery.

Dangote Refinery prepares for a nationwide substance  distributionDangote Refinery sparks anxiousness arsenic it ends substance discount with marketers. Credit: Bloomberg/Contributor
Source: Getty Images

He stated that the refinery whitethorn beryllium restructuring arsenic it tries to fine-tune plans to rotation retired substance straight to extremity users connected August 15, 2025.

“I americium not definite this volition pb to a crisp summation successful substance prices. The refinery whitethorn beryllium readying a amended strategy, particularly arsenic it embarks connected the monolithic and ambitious nationwide substance organisation plans.Remember that 1 of the retailers and spouse stations belongs to Dangote’s relative. So, cutting them retired whitethorn not beryllium successful the champion involvement of some parties, helium said.

So, it remains to beryllium seen if the spouse stations volition exploit the concern to a hike successful prices.

Dangote Refinery moves to clang cooking state price

Legit.ng earlier reported that successful a determination to disrupt Nigeria’s liquified petroleum state (LPG) market, Aliko Dangote has announced plans to cut cooking state prices and cautioned marketers against bypassing accepted organisation channels if they bash not comply with the refinery’s pricing guidelines.

The billionaire businessman disclosed this during a installation circuit with the Lagos Business School’s GCEO Africa delegation astatine the Lekki-based refinery connected Tuesday, July 15, 2025.

He stressed the request to marque cooking state affordable for low-income households arsenic Nigeria battles rising vigor poverty.

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Source: Legit.ng

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