The Dangote Petroleum Refinery has expanded its free petroleum product delivery initiative to Kano, Imo, Anambra and Nasarawa states, in a move that could cut distribution costs and ease pressure on petrol prices.
The refinery announced the expansion in a statement on Sunday. It said the initiative would help independent petroleum marketers reduce the cost of moving products from the refinery to their businesses.
According to the company, the scheme brings petroleum products closer to marketers and retailers. It also removes the cost of transporting fuel across long distances.
The Dangote Petroleum Refinery initially introduced the initiative in Lagos, Ogun, Rivers, Kaduna, Abuja and Delta.
However, the company has now added four more states as it seeks to extend the benefits of domestic refining to more parts of Nigeria.
By taking responsibility for delivery costs, the refinery is removing one major expense from the downstream petroleum supply chain. As a result, independent marketers could have more room to reduce their operating costs.
The company said the initiative could also create an opportunity for lower petrol prices at filling stations.
Fatima Aliko Dangote, Group Executive Director, Commercial Operations, Oil & Gas, WAEP and Fertiliser, said the refinery designed the programme to ensure that domestic refining produces practical benefits for businesses and consumers.
She said the goal was to turn the savings from local refining into tangible gains for Nigerians.
The latest expansion comes as petrol marketers continue to watch distribution costs closely. Transport expenses can affect the final price consumers pay at filling stations.
Therefore, reducing those costs could strengthen competition among marketers and potentially influence pump prices.
The Dangote Petroleum Refinery says its delivery initiative will continue to support the distribution of locally refined petroleum products while reducing the financial burden on independent marketers.
