Dangote Refinery launches 467 million CNG logistics to cut Nigeria fuel transport costs by 1.1 billion annually.
Deploying 4,000 CNG trucks boosts energy distribution, lowers pump prices, and supports 42 million MSMEs.
Project creates 15,000 jobs, advances Nigerias energy security, and aligns with carbon reduction goals.
The Dangote Petroleum Refinery, Africas largest refinery owned by the continents richest billionaire Aliko Dangote, has launched a bold 467 million push into compressed natural gas CNG logistics, aiming to transform Nigerias energy distribution model and slash fuel transport costs by 1.1 billion annually.
The Dangote Petroleum Refinery, located in Lagos, is deploying 4,000 CNG-powered trucks nationwide to deliver petrol, diesel, and aviation fuel directly to filling stations and industrial hubs. The move eliminates middlemen, bridging costs, and long-haul trucking inefficiencies that have plagued Nigerias downstream oil sector for decades.
The cost-saving strategycovering over N1.7 trillion 1.1 billion annuallycould significantly ease inflationary pressures, lower pump prices, and revive over 42 million micro, small, and medium enterprises MSMEs grappling with high energy costs.
August launch to tackle fuel price shocksFrom August 15 , the refinery will begin direct delivery of refined products to meet the countrys daily demand of 65 million literscomprising 45 million liters of petrol, 15 million liters of diesel, and 5 million liters of aviation fuel.
Average logistics costs in Nigeria are estimated at N45 per 0.03 liter, a figure Dangote is set to absorb through a CNG distribution model supported by new CNG mother-and-daughter stations. The investment not only reduces reliance on costly diesel trucks but also aligns with sustainability targets and carbon reduction goals.