South Africa, Ghana and Kenya eye Dangote fuel deals as US–Iran war disrupts fuel supply
African governments are turning to Nigeria’s Dangote Petroleum Refinery for fuel supplies as disruptions linked to the US–Iran war tighten access to refined products and push countries to look for alternatives to Middle East cargoes.
South Africa has asked about a 12-month supply contract with the Lagos-based refinery, according to reporting that cited people familiar with the discussions. Ghana and Kenya have also shown interest, as governments try to lock in a predictable supply during the current volatility.
The scramble comes as Iran’s actions around the Strait of Hormuz, a major global oil and fuel shipping corridor, have rattled energy markets and forced buyers to diversify supply routes and suppliers.
Dangote refinery officials said trading firms that buy its products have been shipping fuel across the continent, including to Cameroon, Côte d’Ivoire, Ghana, Tanzania and Togo this month, with Tanzania receiving its first arrival from the refinery, according to a company representative cited in the report.
While demand for Dangote’s output is rising abroad, the refinery has also adjusted prices at home in response to swings in crude markets. Nigerian media and market reports have described multiple price moves this month as global oil prices surged and then shifted again amid war-related uncertainty.
Dangote, Africa’s largest refinery, plans to expand capacity further in the coming years, and the latest round of inquiries highlights how the plant is increasingly being viewed as a regional backstop when traditional import routes are disrupted.
This story is written and edited by the Global South World team, you can contact us here.
