Nigeria’s Dangote refinery, Africa’s largest, has stepped up gasoline and urea exports to other African countries, helping cushion the continent from supply disruptions caused by the ongoing war in Iran, its owner Aliko Dangote said Monday.
Speaking during a tour of the Ibeju Lekki facility on the outskirts of Lagos, Dangote said the refinery is operating at full capacity of 650,000 barrels per day, enabling it to meet both domestic and regional demand.
“What I can do is assure Nigerians … and most of West Africa, Central Africa, and East Africa, we have the capacity to supply them,” Dangote said.
The refinery exported approximately 17 gasoline cargoes to neighbouring African countries in March, as buyers sought alternative supplies in the wake of reduced global oil flows caused by the conflict. Urea fertiliser shipments from the refinery have also risen, with recent exports increasingly directed toward African markets rather than the United States and South America, officials said.
“In the last couple of days, we’ve been looking to mostly African countries, which we were not doing before,” Dangote said, referring to the fertiliser shipments, though he did not give exact figures. The refinery has capacity to produce up to three million metric tons of urea annually.
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The increased exports come amid record-high fuel prices in Nigeria, reflecting the global oil shock triggered by the Iran war. Despite operating at maximum capacity, the refinery has not fully offset the impact of high crude prices on domestic fuel costs. Dangote said the facility hopes to secure more crude cargoes priced in naira to help reduce local fuel prices.
Two trade sources and a refinery official told Reuters last week that Nigeria’s state oil company, the Nigerian National Petroleum Company (NNPC), has allocated seven cargoes for Dangote in May, up from five in previous months, signaling efforts to boost refinery throughput.
The refinery’s ramp-up is expected to have wider regional implications. Many African countries have faced fuel shortages in recent weeks, as the Iran war disrupted maritime traffic through the Strait of Hormuz, a critical oil shipping corridor. Nigeria, Africa’s largest oil producer, is now positioning the Dangote refinery as a stabilising force in regional energy markets.
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“Dangote’s output is not just a domestic story; it has become a regional lifeline,” said an Abuja-based oil market analyst. “With global supply constrained, neighbouring countries are relying on Nigerian capacity more than ever.”
The refinery, a flagship project of Africa’s richest man, opened in 2023 and is designed to produce 650,000 barrels per day of refined products, including gasoline, diesel, and jet fuel. It also has large-scale fertiliser and petrochemical operations.
Dangote’s statement underscores the refinery’s strategic role in mitigating the global oil shock. By redirecting fuel and fertiliser shipments to African markets, the facility has helped smooth short-term supply gaps, even as domestic prices remain elevated.
Industry experts said that expanding the use of naira-priced crude cargoes could further stabilise fuel prices in Nigeria, reducing exposure to volatile global dollar-denominated crude costs.
The refinery’s operations have coincided with increased regional demand for alternative fuel sources. Many African nations have sought to diversify imports and secure reliable supply amid heightened uncertainty in global oil markets. Dangote’s ability to meet part of this demand strengthens Nigeria’s position as a key energy supplier on the continent.
Analysts said the combination of full-capacity production, strategic exports, and potential local-currency crude procurement positions the Dangote refinery as a crucial tool in both national and regional energy security.
