Oil Marketers Rush to Join Dangote Refinery’s Bulk-Purchase Deal Amid Depot Price Hikes

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More Nigerian oil marketers are scrambling to secure bulk-purchase agreements with Dangote Petroleum Refinery, attracted by its price stability incentives amid rising depot costs.

The move comes as depot owners recently hiked fuel prices to N950 per litre from N909, citing rising global crude oil prices. This has forced independent marketers to raise pump prices, squeezing profit margins.

In contrast, major players like MRS Oil, Ardova Plc, and Heyden Petroleum, which already have bulk-purchase deals with Dangote Refinery, have been able to maintain lower pump prices—with MRS selling at N935 per litre.

Alhaji Abubakar Maigandi Garima, National President of the Independent Petroleum Marketers Association (IPMAN), confirmed that members are eager to partner with Dangote Refinery. He advised marketers to pool resources to meet the refinery’s minimum purchase requirement of two million litres at N909 per litre.

The refinery’s bulk-purchase incentives, supported by President Bola Tinubu’s crude-for-naira swap initiative, aim to stabilize fuel supply and reduce prices for consumers. Motorists have also praised the quality of Dangote’s fuel, reporting better efficiency compared to imported alternatives.

With Ardova and Heyden now benefiting from steady, competitively priced supply, other marketers are rushing to sign similar deals. The agreement is expected to ease fuel scarcity and boost market competition, with analysts predicting long-term benefits for Nigeria’s downstream sector.

About The Author

Dele Fashomi

Dele Fashomi, seasoned journalist and communication teacher, is a holder of Master of Arts degree in Communication and Language Arts from the University of Ibadan in 1992/93.

Earlier, he had bagged a Bachelor degree from the same university in 1984, after which he proceeded to the Nigerian Institute of Journalism, Lagos, in 1990, for a postgraduate diploma in Journalism.

He had done many courses in communication, including the EU-BBC Editing Course in 2002.

Mr. Fashomi combines effectively the practice, research and teaching of communication. And to date, he has published two academic works in communication: Issues in Communication Technology and Policy (2010) and Economic and Social Issues in Advertising and PR (2013).

He had his first break in the Nigerian media in Concord Newspapers in 1990 and today, he has over two and half decades experience earned in several newspapers.

He has been part of many start-ups, such as The Republic (1987), The Comet (1999), The Anchor 2001 – 2002; Sun Newspapers (2003); Westerner newsmagazine (2005 – 2010) as Editor; National Life (2011) as Sunday Editor, and Newswatch Newspapers (2012- 2016) as Daily Editor.

Dele Fashomi is now the Publisher/Editor-in-Chief of Newstide247.com newspaper online, which he started in July 2015. He is also into biography writing, with many books in his trail, some of which he wrote alone and one he co- authored with his mentor, Mr Dare Babarinsa, entitled: Olabiyi Durojaiye – DARE TO BE DiFFERENT. He also guided and collaborated with Pa Olatunji Odusanya in writing his autobiography – AGAINST ALL ODDS. There are many other books in the works under his pen.

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