• Cautions against costly coastal evacuation
• Renews calls for coordinated investment in pipeline infrastructure nationwide

DANGOTE Petroleum Refinery has reaffirmed its commitment to supplying high-quality petroleum products at competitive and affordable prices, urging marketers and policymakers to prioritise logistics choices that support price stability and consumer welfare.

It, however, backed gantry loading and cautioned that coastal delivery may add about N75 per litre to the cost of petrol.

The Refinery, in a statement yesterday, said its position is anchored on sustained investments in critical infrastructure, including a world-class gantry facility with 91 loading bays capable of loading up to 2,900 tankers daily.

It said that operating on a 24-hour basis, the facility can evacuate over 50 million litres of Premium Motor Spirit (PMS), 14 million litres of Automotive Gas Oil (diesel) and other refined products each day, maintaining that gantry loading remains the most economically efficient and operationally effective option.

According to it, direct gantry evacuation eliminates port charges, maritime levies and vessel-related costs that do not add value to end users, helping to optimise costs, improve distribution efficiency and support price stability.

“However, reliance on coastal delivery, particularly within Lagos State, may introduce avoidable costs with material implications for fuel pricing, consumer welfare and overall economic wellbeing. In our opinion, coastal logistics can add approximately N75 per litre to the cost of petrol, which, if passed on to consumers, would push the pump price of PMS close to N1,000 per litre,” the refinery stated.

The Refinery also renewed calls for coordinated investment in pipeline infrastructure nationwide, saying that functional pipelines linking refineries to depots would significantly cut distribution costs, improve supply reliability and strengthen national energy security.

It, however, strongly refuted the allegations that it imports finished petroleum products, describing them as misleading.

The Refinery said that while its Residue Fluid Catalytic Cracking Unit is currently undergoing maintenance, it only imports intermediate feedstock in line with global industry practice.

It, however, challenged anyone with evidence of finished product importation to present it to the appropriate regulatory authorities, adding that such claims are often driven by interests seeking to justify continued dependence on fuel imports.

The Refinery, therefore, reiterated its commitment to efficiency, transparency and price stability in Nigeria’s downstream petroleum sector, urging marketers, regulators and policymakers to support logistics and distribution decisions that align with national economic interests, protect consumers, and sustain the long-term benefits of domestic refining.