Dangote Refinery Now Supplies 92% of Nigeria's Petrol as FG Pauses Imports

Nigeria's long battle to end reliance on imported fuel has taken a major turn. The Dangote Petroleum Refinery now accounts for roughly 92% of the country's daily petrol supply, according to fresh data from regulators. This surge in local production has prompted the Federal Government to pause the importation of Premium Motor Spirit (PMS), marking what many see as a pivotal shift in the downstream oil sector.

Figures released in the February 2026 fact sheet by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) paint a clear picture. Domestic refineries, led overwhelmingly by Dangote, supplied an average of 36.5 million litres of petrol per day last month. Imports dwindled to just about 3 million litres daily, pushing the total national supply to around 39.5 million litres. That means locally refined petrol made up approximately 92% of what reached consumers, a dramatic leap from previous months when imports often dominated.

The pause on imports stems from a deliberate policy move. Sources at NMDPRA confirmed that no licences for petrol imports have been issued so far in 2026, including throughout February and into March. Regulators are enforcing provisions of the Petroleum Industry Act that restrict imports to situations where domestic supply falls short. With Dangote's output meeting and in some views exceeding national needs, authorities see no justification for bringing in foreign petrol.

This development is a clear win for Aliko Dangote's massive Lekki-based refinery, which boasts a nameplate capacity of 650,000 barrels per day. The facility has steadily ramped up operations since coming on stream, gradually displacing the imported fuel that Nigeria depended on for decades. Industry insiders note that the refinery is now in a position to deliver over 50 million litres of petrol daily when running at optimal levels, leaving room for potential exports once domestic demand is fully covered.

The shift carries big implications for the economy. Ending or sharply reducing petrol imports could ease pressure on foreign exchange reserves, which have long been drained by billions spent on subsidised or market-priced fuel from abroad. It also strengthens local refining capacity, creates jobs, and reduces vulnerability to global price swings and supply disruptions.

Yet questions remain about how this plays out at the pump. Despite the refinery's growing dominance, petrol prices have not dropped significantly for ordinary Nigerians. Some reports suggest Dangote has adjusted its gantry prices downward in recent times, but those reductions have yet to fully reflect in retail stations across the country. Factors like distribution costs, taxes, and markups by marketers continue to influence final prices.

The Nigerian National Petroleum Company Limited (NNPCL) and other stakeholders have been working to secure steady crude supplies for the refinery, including through domestic allocations and international purchases. Dangote officials have emphasised their commitment to prioritising the local market, even amid global crude volatility tied to geopolitical tensions.

For motorists and businesses, the hope is that sustained local supply will eventually translate into more stable and ideally lower pump prices. Analysts point out that full benefits may take time as the system adjusts, old import contracts wind down, and logistics chains adapt to domestic sourcing.

This moment has been years in the making. Dangote's push to halt imports, including past legal actions against regulators and marketers, has aligned with government efforts to boost self-sufficiency. As the refinery continues to scale, many expect Nigeria's fuel landscape to look very different in the coming months one where homegrown production finally takes centre stage.

The change brings broader ambitions to transform the oil sector from a net importer of refined products to a producer with export potential. While challenges like crude access and pricing transparency persist, February's numbers signal real progress toward that goal.