The much-anticipated launch of Dangote Petroleum Refinery’s direct fuel distribution scheme has suffered a major setback as a global shipping crisis has delayed the delivery of thousands of its newly ordered Compressed Natural Gas (CNG) trucks. Out of the 4,000 trucks ordered from China, only 450 have arrived in Nigeria, far below the planned target to kickstart operations on August 15, 2025.
According to findings, the $20 billion Lekki-based Dangote refinery had projected that its 4,000 CNG-powered trucks would revolutionize petroleum distribution in Nigeria, cutting costs and enhancing efficiency.
However, logistics challenges in China have disrupted shipping schedules, preventing the timely arrival of the vehicles.
A senior executive of the Dangote Group, who spoke on condition of anonymity, confirmed that the delay stemmed from a shortage of ships available to ferry the large number of trucks to Nigeria.
“There are not enough ships coming from China to handle 4,000 trucks and 4,000 tankers,” the source revealed.
So far, Dangote has received 200 trucks in the first shipment and another 250 in the second, with an additional 150 expected next week.
This brings the total to 600 units, representing just about 11 percent of the required fleet.
The company had initially planned to deploy all 4,000 trucks simultaneously, but the shortfall is likely to force adjustments to its direct fuel supply schedule.
Nonetheless, Dangote Industries says it expects 60 shiploads of trucks to arrive within the next six weeks.
Mr. Anthony Chiejina, Group Chief of Branding and Communication, said in a statement that the programme remains on track despite the temporary delays.
“Over the next six weeks, the refinery expects at least 60 shiploads of these trucks to arrive in the country,” he assured.
In June, Dangote announced a massive N720 billion investment to procure 4,000 CNG-powered trucks to distribute refined petroleum products nationwide.
The initiative is expected to save Nigerians more than N1.7 trillion annually in fuel distribution costs by eliminating excessive logistics expenses and ensuring direct delivery to filling stations and bulk users.
The refinery’s projection also shows that the scheme could cut national fuel logistics costs by N1.07 trillion yearly, boosting profitability for over 42 million small businesses that rely heavily on energy.
Beyond cost savings, the CNG truck initiative supports Nigeria’s energy transition by promoting cleaner, environmentally friendly fuel distribution.
It is also expected to generate over 15,000 direct jobs, including drivers, station managers, and attendants, while revitalizing dormant filling stations across the country.
The ambitious project, however, has not been without controversy.
Earlier this year, the Natural Oil and Gas Suppliers Association of Nigeria (NOGASA) raised concerns that Dangote’s plan to bypass traditional supply chains and sell directly to end users could cripple existing distribution networks and cause job losses among tanker drivers.
NOGASA’s President, Bennett Korie, even called on President Bola Tinubu to intervene, warning that Dangote’s model was not sustainable without collaboration with existing players.
Following weeks of tension, Dangote met with NOGASA and the National Association of Road Transport Owners (NARTO).
Both associations later confirmed that an agreement had been reached.
Dangote reportedly assured them that while it would introduce direct distribution, it would still engage bulk buyers and suppliers to avoid displacing existing operators.
Speaking to reporters, NOGASA spokesperson Chinedu Ukadike said: “We requested that the supply chain be maintained, and Dangote has agreed that he will not sell directly to end users. Products will be sold to bulk buyers, who are the suppliers. Based on that, we won’t have issues again.”
The delay in truck delivery highlights the vulnerability of Nigeria’s energy supply chain to global shipping disruptions.
With fuel logistics already one of the most expensive components of Nigeria’s downstream sector, the Dangote refinery’s initiative was widely seen as a game changer.
Industry experts warn that unless the delivery bottleneck is quickly resolved, the refinery’s fuel distribution ambitions may be slowed, prolonging dependence on inefficient and costly middlemen channels.
Still, stakeholders remain optimistic that once the trucks arrive in full, the Dangote distribution model will reshape the petroleum supply chain, drive down pump prices, and strengthen Nigeria’s economic growth.