Dangote Refinery Advocates Gantry Loading

By Love Oyedokun

Lagos, Nigeria – Dangote Petroleum Refinery is urging marketers and policymakers to prioritize efficient fuel distribution methods, specifically advocating for gantry loading over coastal evacuation, to ensure affordable and stable fuel prices for Nigerian consumers. The refinery also strongly refuted claims that it imports finished petroleum products, calling such allegations misleading.

Cablenews24 reports that Dangote Refinery emphasized its commitment to supplying high-quality petroleum products at competitive prices, highlighting its significant investments in critical infrastructure, including a world-class gantry facility. This facility boasts 91 loading bays capable of handling up to 2,900 tankers daily, operating 24/7, and evacuating over 50 million liters of Premium Motor Spirit (PMS), 14 million liters of Automotive Gas Oil (diesel), and other refined products each day.

While acknowledging that coastal loading may be necessary in certain logistical situations, Dangote Refinery maintains that gantry loading remains the most economically efficient and operationally effective option for the majority of fuel distribution. The refinery argues that direct gantry evacuation eliminates unnecessary costs associated with port charges, maritime levies, and vessel-related expenses, which ultimately do not benefit end-users. This streamlined approach helps optimize costs, improve distribution efficiency, and support price stability.

“Marketers are free to choose their preferred mode of evacuation, and PMS and other refined products are made available at competitive gantry prices,” Dangote Refinery stated. “However, reliance on coastal delivery, particularly within Lagos, may introduce avoidable costs with material implications for fuel pricing, consumer welfare, and overall economic well-being. In our opinion, coastal logistics can add approximately N75 per liter to the cost of petrol, which, if passed on to consumers, would push the pump price of PMS close to N1,000 per liter.”

The refinery estimates that sustained dependence on coastal logistics could impose an additional annual cost of roughly N1.752 trillion, based on Nigeria’s average daily consumption of approximately 50 million liters of PMS and 14 million liters of diesel. This substantial cost, the refinery warns, would ultimately be borne by either producers or Nigerian consumers.

In addition to advocating for efficient gantry loading, Dangote Refinery renewed its call for coordinated investment in pipeline infrastructure nationwide. The refinery argues that functional pipelines linking refineries to depots would significantly reduce distribution costs, improve supply reliability, and strengthen national energy security.

Addressing recent claims that it imports finished petroleum products, Dangote Refinery vehemently denied the allegations, calling them “misleading.” The refinery clarified that while its Residue Fluid Catalytic Cracking Unit is currently undergoing maintenance, it only imports intermediate feedstock, a common practice in the global refining industry. Dangote Refinery challenged anyone with credible evidence of finished product importation to present it to the appropriate regulatory authorities, suggesting that such claims are often driven by vested interests seeking to justify continued dependence on fuel imports.

Dangote Refinery emphasized the tangible benefits that domestic refining has already brought to the Nigerian economy. Since commencing operations, the price of diesel has fallen significantly, from approximately N1,700 per liter to between N980 and N990. Similarly, PMS prices have declined from about N1,250 per liter to between N839 and N900.

The refinery also highlighted that increased local supply has sharply reduced fuel importation, eased foreign exchange pressures, and improved market stability, contributing to a stronger naira, which recently traded at about N1,385 to the dollar.

Dangote Refinery reiterated its unwavering commitment to efficiency, transparency, and price stability in Nigeria’s downstream petroleum sector, urging marketers, regulators, and policymakers to support logistics and distribution decisions that align with national economic interests, protect consumers, and sustain the long-term benefits of domestic refining.

About Cablenews24:
CableNews24 is a digital multimedia news platform featuring online news channel and a digital newspaper, covering Breaking News,  featuring articles on politics, technology, and general news.  We’re your trusted companion in navigating today’s fast-paced world, delivering everything you need to stay connected. From local happenings to global events, we deliver news that matters…Join the CableNews24 experience – where news meets convenience.

CableNews24 – News, Anytime, Anywhere.

For Advertisement, Event Coverage/MC, Public Relations, Story/Article Publication, and other Media Services, kindly send an email to: cablenews24.com@gmail.com OR Kindly call: 08023535955 . To stay updated with the latest news stories, kindly visit cablenews24.com published by AAAANDREL GLOBAL SERVICES