Nigerian Marketers Import Dangote Fuel via Lomé Hub as Trade Flows Shift Across West Africa

Nigerian fuel marketers are increasingly sourcing refined petroleum products originally produced by Dangote Petroleum Refinery through an offshore ship-to-ship (STS) trading hub in Lomé, Togo, reshaping regional fuel distribution patterns. According to S&P Global Energy official Matthew Tracey-Cook, the trend reflects a growing circular flow of petroleum products within West Africa, even as local production in Nigeria rises. The development also raises questions about pricing differences between domestic and international markets.

Tracey-Cook, speaking at a MEMAN webinar on West African pricing dynamics, said data shows a sharp shift in Nigeria’s supply structure over the past six months. He noted that between March and May 2026, as much as 70 to 80 percent of waterborne fuel imports into Nigeria were linked back to Dangote-origin products that had first moved through coastal trading routes before returning to Lagos.

A key driver of this trade pattern is the strategic role of the Lomé STS hub, which serves as a flexible redistribution point for fuel cargoes across the region. Larger vessels discharge petroleum products there, which are then transferred to smaller ships better suited to West African port limitations. This system allows efficient movement of petrol, diesel, and jet fuel across markets with infrastructure constraints.

The report also highlights wider global pressures shaping regional flows, including disruptions from geopolitical tensions affecting global energy markets. Tracey-Cook noted that Dangote products have even reached international destinations such as Europe and other regions, positioning the refinery as a growing exporter in a tightening global supply environment. He added that pricing differences between Lomé and Nigeria continue to influence trading decisions and risk management strategies.

However, the trend has sparked controversy among local marketers, who have previously alleged that Dangote sells fuel at lower prices to international traders compared to Nigerian buyers. Industry groups such as DAPPMAN and PETROAN have raised concerns, while the refinery has denied any discriminatory pricing. Despite the debate, analysts say the combined influence of the Dangote refinery and the Lomé hub is now central to West Africa’s evolving fuel trade ecosystem.

source: punch