Africa’s richest man and President of Dangote Group, Aliko Dangote, has vowed that his $20bn refinery project will not fall to the grip of what he described as an entrenched “oil mafia” determined to frustrate local refining in Nigeria.
Speaking in Lagos on Monday during the launch of compressed natural gas (CNG)-powered trucks for direct fuel distribution, Dangote said his refinery has faced strong resistance from vested interests both locally and internationally.
He accused the oil mafia of deploying the same tactics that once crippled Nigeria’s textile industry, warning that similar sabotage was being attempted in the downstream petroleum sector.
According to him, the first year of petrol production has been one of the most difficult periods for the refinery.
“The past year has been a very rough journey,” he said. “We came in to change the narrative of how things have always been done.
But the oil mafia, made up of people used to rent collection, believe we have taken food from their table.”
Dangote alleged that both international traders and domestic marketers were colluding to suffocate his operations, preferring to benefit from importation rather than support local refining.
He likened the refinery’s struggle against the oil mafia to a fight for Nigeria’s economic independence.
His remarks follow a series of disputes with trade groups.
The Nigerian Union of Petroleum and Natural Gas Workers (NUPENG) recently shut down depots, accusing the refinery of blocking union membership for truck drivers.
Similarly, the Depot and Petroleum Product Marketers Association of Nigeria (DAPPMAN) accused the refinery of selling petrol to foreign traders at cheaper rates than it offered to Nigerian buyers.
Dangote dismissed these allegations, saying the refinery was sometimes forced to export fuel at lower margins to survive in a highly competitive market dominated by the oil mafia.
He explained that the refinery has been paying premiums on crude, while also competing with cheaper, subsidised Russian products.
“The only way to keep the refinery running was to export at thinner margins,” he said.
The industrialist also revealed that under the naira-for-crude deal, the refinery has been sacrificing profits to make petrol affordable locally.
“People don’t know that we’re actually sacrificing a lot,” he said.
“At a time, we were paying a $6 premium to Brent while Russian crude sold for $20.
The oil mafia does not want the refinery to survive because they thrive on Nigeria’s dependence on imports.”
He added that smuggling across borders has worsened the situation, with as much as 85 per cent of fuel consumed in Benin Republic reportedly coming from Nigeria.
This, according to him, is another channel through which the oil mafia undermines Nigeria’s energy security.
Rejecting claims that the refinery lacks the capacity to meet local demand, Dangote disclosed that the facility exported 1.6 billion litres of petrol between June and August 2025.
“DAPPMAN says we don’t have capacity. If that’s true, then how did we export this volume? The dumping process is massive, and it is exactly how the oil mafia destroyed Nigeria’s textile sector. But we won’t allow them to kill this $20bn investment,” he insisted.
Dangote stressed that his refinery has already put an end to the decades-long cycle of fuel scarcity in Nigeria.
He pledged to continue resisting the oil mafia while positioning the refinery as a pillar of Africa’s energy security.
Despite the battles, Dangote pressed forward with unveiling a fleet of CNG-powered trucks designed to transport fuel directly to filling stations.
This move, his team said, would reduce dependence on third-party distributors who often manipulate supply chains.
Dangote Group spokesperson, Anthony Chiejina, said over 1,000 CNG trucks were already operational, with 500 more arriving from the port.
He described the deployment as a complete transformation of the refinery’s logistics system.
“Some of the old trucks were not safe by global standards. With CNG, we are ensuring safety, efficiency, and affordability. By the end of the month, all 1,500 trucks will be on the road,” Chiejina confirmed.
The trucks, ordered from China, had initially been delayed due to logistics bottlenecks but are now arriving in batches every week.
Dangote noted that the trucks would also create 24,000 jobs, with drivers earning three times Nigeria’s minimum wage.
Dangote reiterated that the battle with the oil mafia was not just about profits but about national pride and economic sovereignty.
He emphasized that his refinery, the largest in Africa, had restored dignity to Nigeria by ending dependence on fuel imports.
“I will not allow anyone to kill this $20bn refinery. It has brought pride to Nigeria and Africa, and it will remain a pillar of energy security for our people,” he declared.
Analysts believe the fight between Dangote and the oil mafia highlights the deep structural issues in Nigeria’s petroleum sector.
While the refinery has significantly increased domestic refining capacity, entrenched interests in fuel importation continue to resist reforms.
Still, with its refining scale, new CNG-powered distribution fleet, and Dangote’s defiance, the refinery appears determined to withstand the oil mafia’s pressure.
For now, the billionaire is positioning his refinery as a turning point in Nigeria’s decades-old struggle with fuel supply and the dominance of cartels.
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