Nigeria sees rising petrol demand from African nations as Dangote Refinery raises prices amid global supply disruptions caused by Middle East tensions, highlighting regional fuel reliance

Many African countries are increasingly turning to Nigeria to purchase petrol as global supply issues, driven by tensions in Iran, disrupt markets.

Also read: Nigeria Petrol Consumption Falls Amid Dangote Refinery Boost

The Dangote Petroleum Refinery is struggling to meet growing demand from countries such as South Africa, with other nations across the continent expressing interest in securing fuel.

In response to rising costs, the refinery has increased its ex-depot (gantry) price from ₦1,175 to ₦1,245 per litre, with coastal prices also rising.

The company explained that the adjustments reflect higher crude oil prices and transportation costs caused by global tensions. The new prices took effect on March 21, 2026.

Marketers with existing supply agreements backed by bank guarantees can still purchase fuel at previous rates, provided they meet certain conditions, although they will eventually settle the price difference.

Analysts warn that this increase will likely be passed on to consumers at filling stations.

Despite the Dangote Refinery’s capacity to stabilise local supply, Nigeria’s market remains sensitive to international oil price fluctuations and disruptions.

Several African countries are actively seeking long-term supply arrangements with Nigeria, including South Africa, Ghana, and Kenya. The situation mirrors challenges worldwide:

India is experiencing cooking gas shortages.

Japan faces limited fuel product supply.

Many African nations remain reliant on Middle East imports.

Governments across the continent are urging citizens to conserve fuel. In Ethiopia, authorities have called for careful usage, while Somalia has seen fuel prices nearly double.

South Africa is reviewing crude oil reserves and plans to improve refined fuel storage.

Also read: Dangote Refinery Hikes Fuel Prices Again Amid Sharp Surge

The unfolding scenario underscores how geopolitical conflicts can ripple across global energy markets, influencing fuel availability and prices even in countries with major refining capacity like Nigeria.