Dangote Refinery Suspends Discount Scheme Over Product Diversion Scandal
The Dangote Petroleum Refinery has suspended its discounted fuel supply scheme after uncovering widespread abuse by some affiliate marketers and strategic partners.
An internal investigation revealed that marketers granted access to discounted fuel were diverting products to unregistered third parties for quick profits. These marketers used their loading tickets (ATCs) to allow unauthorized dealers to collect products, bypassing operational costs and selling at inflated market rates undermining the scheme’s purpose of affordability and nationwide supply.
The abuse led to severe market distortions and threatened the sustainability of refinery operations. As a result, the scheme was officially suspended on July 13, 2025, as stated in a letter signed by Group Executive Director, Commercial Operations, Fatima Dangote.
Despite repeated warnings, some marketers continued to resell products directly from the refinery at prices below the gantry rate, prompting Dangote Refinery to take immediate action.
All previously issued Product Release Notes (PRNs) at partner rates remain valid for loading, and payments completed before the suspension date will still be honoured. Retail stations are required to maintain uniform pump prices to prevent further disruptions.
Oil and gas expert Olatide Jeremiah confirmed that affiliate marketers were exploiting the scheme for personal gain, even reselling fuel obtained on credit under volume-backedrepayment agreements intended to support national distribution.
“The affiliate marketers were making quick profits by reselling at slightly higher rates without incurring retail costs,” Jeremiah said, citing examples of N4 per litre mark-ups.
Though suspended, the strategic partnership scheme is not being scrapped. The refinery is now exploring new, more accountable incentive models to support legitimate partners.
Market data shows that non-affiliated marketers, who do not benefit from Dangote’s discounts, continue to sell at the same retail rates highlighting the distortion caused by the abuse.