Lagos, Nigeria | August 25, 2025
The Dangote Petroleum Refinery has commenced the phased delivery of compressed natural gas (CNG)-powered trucks to launch its direct fuel distribution initiative, though delays in shipment from China mean only a fraction of the planned fleet is currently in Nigeria.
The refinery, Africa’s largest and a $20 billion investment located in the Lekki Free Zone, ordered 4,000 CNG trucks valued at ₦720 billion (about $470 million) to transport refined petroleum products directly to marketers, industries, telecom operators, airports, and fuel stations nationwide.
According to verified reports from Reuters and statements from Dangote Group, about 450 trucks have so far arrived, not the 1,000 previously claimed in some outlets. The remaining units are expected to arrive in multiple shiploads over the next six weeks, though industry experts caution the timeline is ambitious given global shipping constraints.
The direct distribution scheme, initially scheduled to start on August 15, 2025, was postponed due to logistics challenges in China, particularly vessel shortages. Dangote officials maintain that the initiative will significantly reduce distribution costs, improve supply reliability, and support more than 42 million micro, small and medium-sized enterprises (MSMEs).
Economic analysts project that the program could generate over 15,000 jobs and yield annual savings of at least ₦1.7 trillion in fuel logistics nationwide. However, the staggered delivery has raised concerns about whether the full rollout can proceed as planned.
Despite the delays, the arrival of the first batch of trucks signals a critical step toward Dangote’s vision of reshaping Nigeria’s downstream oil logistics and reducing dependence on third-party distributors.
