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Dangote refinery to begin fuel distribution with 4,000 CNG trucks

The Dangote Petroleum Refinery is preparing to begin nationwide fuel distribution with a new fleet of 4,000 trucks powered by Compressed Natural Gas (CNG), which industry experts are calling a significant advancement for Nigeria’s downstream petroleum industry.

Abubakar Maigandi, the National President of the Independent Petroleum Marketers Association of Nigeria, stated that the trucks are currently being numbered and should be on the roads within a week. He mentioned that although the refinery had initially planned to start distribution on August 15, 2025, the launch experienced slight delays despite many trucks already arriving.

“I spoke with the management. They are currently numbering the trucks. Once that process is completed, in about a week, they will start the distribution,” Maigandi noted. He reassured Nigerians that the direct-to-market approach would eliminate middlemen, reduce transportation expenses, and ultimately lower fuel prices at the pump.

The refinery has recently taken delivery of the CNG trucks, representing a capital investment estimated at N720 billion, aligning with the Federal Government’s Decade of Gas initiative. The trucks are being imported through the Apapa Port.

In a statement, Dangote Petroleum Refinery & Petrochemicals referred to this development as “a revolutionary advancement in Nigeria’s fuel distribution network,” emphasizing its dedication to innovation and efficiency.

“The implementation of this initiative will greatly reduce distribution costs and enhance fuel availability across the nation. This model aims to alleviate transportation challenges, promote transparency, and bolster energy security,” the company stated.

Dangote pointed out that the privately owned refinery incurs over N1.07 trillion annually on logistics, and this new initiative will benefit more than 42 million Micro, Small, and Medium Enterprises by lowering energy expenses and increasing profitability.

The refinery highlighted that, in addition to efficiency benefits, this initiative supports environmental sustainability, stimulates economic growth, and helps mitigate inflation by decreasing fuel distribution costs.

Analysts in the industry believe that the introduction of CNG-powered trucks by Africa’s largest refinery signifies a new chapter in Nigeria’s pursuit of affordable energy and a more robust supply chain.

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