Dangote Petroleum Refinery has temporarily suspended the sale of petroleum products in the domestic market, citing challenges related to the stalled naira-for-crude deal with the Nigerian National Petroleum Company (NNPC).
In a notice to petroleum marketers on Wednesday, March 19, 2025, the company clarified that the decision was necessary to address a mismatch between its sales revenue and crude oil purchase obligations, which are currently denominated in U.S. dollars.
“Dangote Petroleum Refinery has temporarily halted the sale of petroleum products in naira to prevent a financial imbalance caused by the difference between our revenue from local sales and our crude oil purchase commitments,” the statement read.
The company explained that its sales in naira have exceeded the value of naira-denominated crude received, creating an imbalance.
“To address this, we must temporarily adjust our sales currency to align with the currency of our crude procurement. As soon as we receive an allocation of naira-denominated crude cargoes from the NNPC, we will promptly resume fuel sales in naira,” it added.
Dangote Refinery also dismissed online reports alleging that the halt in fuel loading was due to ticketing fraud, calling such claims false and misleading.
“Our systems are robust, and we have had no fraud issues,” the statement emphasized.
Previously, the refinery sold petroleum products in naira, as it sourced crude oil through a local currency agreement with the NNPC. However, since March 10, 2025, the NNPC discontinued the naira-for-crude deal with Dangote Refinery and other local refineries.
The move forced Dangote Refinery to reevaluate its pricing structure, leading to a temporary halt in naira-based fuel sales.
The company reassured Nigerians that it remains committed to serving the domestic market efficiently and will resume sales in naira once it secures a new allocation of local-currency crude.