Nigeria is set to receive six vessels carrying large volumes of petrol and diesel valued at about N279 billion this week, even as the legal battle over fuel importation continues between the Dangote Petroleum Refinery and key players in the downstream oil sector.
According to shipping records from the Nigerian Ports Authority, the vessels are bringing in approximately 212.7 million litres of Premium Motor Spirit (PMS), popularly known as petrol, and Automotive Gas Oil (AGO), commonly called diesel. The shipments are expected to arrive at different ports in Lagos and Calabar between now and June 19.
Out of the six vessels, five are transporting petrol while one is carrying diesel. Together, the vessels are delivering about 157,000 metric tonnes of fuel products, including 132,000 metric tonnes of petrol and 25,000 metric tonnes of diesel.
Based on current prices at the Dangote Refinery loading gantry, the imported petrol is valued at around N229.1 billion, while the diesel cargo is estimated at nearly N50 billion. This brings the total value of the incoming fuel shipments to approximately N279.1 billion.
In dollar terms, using an average exchange rate of N1,360 per dollar, the cargo is worth about $205 million. The figure highlights the impact of Nigeria’s foreign exchange challenges on the cost of fuel imports.
The largest shipment is being delivered by the MT Mosunmola tanker, which is carrying 45,000 metric tonnes of petrol destined for the Bulk Oil Plant in Apapa, Lagos. Another major vessel, MT ST Ilhaam, is transporting 37,000 metric tonnes of petrol and is expected to arrive on June 19.
The only diesel shipment is being carried by MT Leste, which arrived earlier this week with 25,000 metric tonnes of AGO. Other vessels, including MT Bora, MT Stellar, and MT Lausu, are also delivering significant quantities of petrol to terminals in Lagos and Calabar.
The arrival of these fuel imports comes at a crucial time as Dangote Refinery continues its court case seeking to restrict the importation of refined petroleum products into Nigeria.
The refinery argues that continued issuance of import licences to marketers discourages local refining and threatens investments made in domestic fuel production. The company has taken legal action against the Federal Government, the Nigerian National Petroleum Company Limited (NNPC), and the Nigerian Midstream and Downstream Petroleum Regulatory Authority.
Business mogul and refinery owner, Aliko Dangote, has repeatedly maintained that Nigeria should reduce dependence on imported fuel and fully support local refining.
In recent months, the refinery has reduced petrol loading prices in an effort to compete with imported products and make fuel more affordable across the country.
Meanwhile, the refinery recently announced that it successfully increased its crude processing capacity to 700,000 barrels per day during a performance test, surpassing its original design capacity of 650,000 barrels per day. The company says it plans to expand production further to 1.4 million barrels per day within the next 30 months.
Dangote Refinery believes this expansion will strengthen Nigeria’s energy security, eliminate reliance on imported fuel, and position the country as a major exporter of refined petroleum products.
However, the NNPC and fuel marketers have opposed the refinery’s request in court. They argue that preventing fuel imports could create a monopoly in the downstream sector and reduce competition.
The Petroleum Products Retail Outlet Owners Association of Nigeria has also backed continued fuel importation, insisting that allowing multiple suppliers into the market will encourage competition and help keep fuel prices under control.
The Federal High Court in Lagos is expected to decide on the matter, a judgment that could significantly influence the future structure of Nigeria’s petroleum industry.
