Oando Halts Petrol Imports as Dangote Refinery Reshapes Nigeria’s Fuel Market

Oando Halts Petrol Imports as Dangote Refinery Reshapes Nigeria’s Fuel Market

Oando Plc, one of Nigeria’s leading indigenous energy companies, has officially suspended the importation of Premium Motor Spirit (PMS), commonly known as petrol, citing a significant shift in the nation’s downstream oil sector driven by the operational ramp-up of the Dangote Refinery.The announcement was contained in Oando’s unaudited financial results for the half-year and nine-month periods ended September 30, 2025, where the company reported a 20% decline in trading revenue, largely due to the cessation of petrol imports.“The commencement of domestic fuel supply by the Dangote Refinery has disrupted traditional import volumes, prompting a strategic pause in PMS importation,” Oando stated. The 650,000 barrels-per-day Dangote Refinery, located in Lekki, Lagos, has steadily increased local petrol production since beginning operations in 2024. It now supplies an average of 20 million liters of petrol daily to the domestic market, reducing Nigeria’s historical dependence on imported fuel.Oando highlighted the development as a “positive step toward energy self-sufficiency,” even as it contributed to a year-on-year drop in group revenue from ₦3.2 trillion in 2024 to ₦2.5 trillion in the first nine months of 2025.To offset the impact, Oando has pivoted toward higher-margin segments. The company traded 21 crude oil cargoes (approximately 19.8 million barrels) during the period up from 15 in 2024 and expanded its gas and LNG trading activities.The suspension aligns with broader policy shifts, including a recent 15% tariff on petrol imports and directives from the Nigerian National Petroleum Company (NNPC) to prioritize locally refined products. Current landing costs for imported petrol stand at around ₦830 per liter, making domestic supply increasingly competitive.Oando remains optimistic, emphasizing its strengthened upstream assets and diversified trading portfolio as pillars for long-term growth in a transforming energy landscape.    

Source: Oando Halts Petrol Imports as Dangote Refinery Reshapes Nigeria’s Fuel Market

 - NigerianEye

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