Oando Revenue Falls 20% to ₦2.54 Trillion as Dangote’s $20 Billion Refinery Transforms Nigeria’s Fuel Supply
Oando Plc, one of Africa’s leading energy companies led by Nigerian billionaire Wale Tinubu, reported a sharp decline in revenue for the first nine months of 2025 as Aliko Dangote’s $20 billion refinery began full operations, reshaping Nigeria’s downstream oil industry.
The company’s revenue fell by ₦648 billion ($450 million), or 20%, to ₦2.54 trillion ($1.75 billion) in the first nine months of 2025, down from ₦3.19 trillion ($2.2 billion) in the same period a year earlier.
According to Oando’s investor update, the decline was mainly due to reduced gasoline imports as the Dangote Refinery ramped up domestic fuel production, significantly improving Nigeria’s refined fuel supply.
To adapt to the new market conditions, Oando’s trading division temporarily halted petrol marketing during the period, citing the refinery’s large-scale output, which has reshaped local fuel supply dynamics.
“Across our trading business, refined-product volumes remained under pressure because the Dangote Refinery successfully met most of Nigeria’s fuel needs,” said Wale Tinubu, Group Chief Executive of Oando Plc. “We are now focusing on expanding global crude exports and maximizing pre-export financing opportunities, which continue to deliver strong results.”
With the refinery now ensuring steady domestic fuel availability, Oando announced plans to shift focus toward more profitable crude oil and natural gas trading.
The company aims to strengthen its trading operations by improving supply financing and expanding into metals and gas markets, part of a broader strategy to build a diversified, resilient energy portfolio.
The company’s performance reflects a broader transformation underway in Nigeria’s energy landscape. Since September 15, the Dangote Refinery has been supplying approximately 20 million liters of petrol daily to the domestic market, marking a major step toward ending Nigeria’s decades-long dependence on imported fuel.
Located near Lagos, the refinery is one of Africa’s largest private-sector industrial projects and a cornerstone of Nigeria’s drive toward energy self-sufficiency.
During a recent media briefing, Aliko Dangote revealed plans to expand the refinery’s capacity from 650,000 barrels per day to 1.4 million barrels per day within three years.
The expansion will be financed through internal cash flow, a potential public listing, and strategic partnerships.
“This expansion shows our confidence in Nigeria’s future, our faith in Africa’s potential, and our commitment to achieving energy independence,” Dangote said.
Once completed, the Dangote Refinery is expected to become the world’s largest single-train refinery, surpassing India’s Jamnagar complex.
The project could generate up to $55 billion in annual revenue, strengthen Nigeria’s foreign reserves by reducing fuel imports, and increase polypropylene output to 2.4 million metric tonnes per year.
