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Amid Feud with Marketers, Dangote Refinery Halts Direct Fuel Collection

Nathaniel irobi by Nathaniel irobi
September 19, 2025
in Business
Fuel Marketers Give Dangote Seven Day Ultimatum to Retract Fuel Diversion Allegations
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Dangote Petroleum Refinery and Petrochemicals Limited has suspended all self-collection gantry sales of petroleum products, effectively halting direct fuel collection by marketers at its facility.

The move, which took effect on Thursday, September 18, 2025, is a direct push to force marketers onto its controversial free delivery scheme and stem sales to unregistered parties.

The directive was communicated to marketing partners via a mail correspondence from the Group Commercial Operations Department, obtained by journalists.

It stated that “effective 18th September 2025, Dangote Petroleum Refinery and Petrochemicals FZE has placed all self-collection gantry sales on hold until further notice.” The notice urgently requested that “all payments related to active PFIs for self-collection are also placed on hold,” warning that “any payment made after this date will not be honoured.”

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Instead, the company is compelling marketers to adopt its model. “We encourage all active and newly onboarded customers to register for the DPRP Free Delivery Scheme, which remains fully operational and offers a seamless delivery experience to your station,” the mail read.

The refinery described the decision as an “operational adjustment aimed at improving efficiency” and “sincerely apologised for any inconvenience this may cause.”

This development is the latest volley in a heated feud between the refinery, the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG), and the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN). DAPPMAN has vehemently opposed the mandatory “free delivery scheme,” arguing that it forces marketers to rely exclusively on Dangote’s own fleet at commercial rates, undermining their operations.

The refinery has stood its ground, insisting the scheme is necessary to “stabilise supply and cut costs,” while accusing marketers of “seeking subsidies and fuelling diversion.” Just a day before the suspension, the refinery’s management had reaffirmed its position in a statement titled “We Stand By Our Statement on DAPPMAN … Marketers’ ₦1.505trn Subsidy Demand,” refusing to absorb the massive logistics costs demanded by marketers.

The decision is expected to have major implications for independent petroleum marketers and retail owners who rely on direct self-collection and have not registered for the free delivery scheme. It heightens concerns over pricing, competition, and control within Nigeria’s downstream oil sector, marking a pivotal moment in the battle between the new refinery giant and established marketing associations.

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