Three suspects have been arrested by the Edo State Police Command over an attack on a fuel station and damaging a pump machine worth about N3.6m.

The attack was said to have occurred on Thursday in Ewato Community, Esan South East Local Government Area of the state.

One of the suspects known as Biggy and others have been arrested and detained at the Ewohimi Police Division.

The state police spokesperson, Moses Yamu, who confirmed the incident to our correspondent said the suspect carried out the attack on the gas station and damaged pump machines worth N3.6m, adding that the suspects were currently in police custody.

He said, “The suspect damaged pump machines at the filling station estimated to the tune of N3.6m because a sales girl declined his advances.”

He, however, assured that the matter would be treated with the attention it deserved and ensure that he is prosecuted according to the law.

The owner of the fuel station, the Iyase of Ewato, Chief Kenneth Ezojie, said he was called on Tuesday that Biggy and two others vandalised the place over the refusal by his sales girl to sleep with Biggy for N5,000.

He said, “Three months ago, hoodlums destroyed my station. While we had yet to recover from that, on Tuesday, around 8:30 pm, Biggy came and asked my sales girl to sleep with him for N5,000.and she refused,” he said.

“Due to the fact that she rejected him, Biggy beat her up. On Thursday morning, my manager rushed to tell me Biggy returned and damaged the fuel meters,” he added.

Ezojie appealed to security agencies to protect his business and ensure the suspects are prosecuted.

According to a member of the community, who pleaded anonymity, elders and members of community were happy that the criminal elements terrorising the community had been arrested and handed over to the police.

Oil marketers under the aegis of the Petroleum Products Retail Outlets Owners Association of Nigeria have rejected the decision by the Dangote Petroleum Refinery to sell refined petroleum products in dollars.

PETROAN urged the Federal Government not to allow the Lagos-based plant to sell in dollars to Nigerian marketers. The association’s President, Billy Gillis-Harry, disclosed this on Tuesday in a chat with newsmen.

This came as the refinery intensified the export of fuel to foreign nations, exporting about two million barrels of aviation fuel to the United States.

Also, the Manufacturers Association of Nigeria declared that the production of polypropylene by the Dangote refinery would revive Nigeria’s struggling textile industry and save the country $267m in import costs.

Last week, the Dangote refinery announced that it would no longer sell fuel to customers in naira as the Federal Government had suspended the sale of crude to the facility in naira.

Reacting to this on Tuesday, the PETROAN leader said the announcement by Dangote created tension among marketers who now panic-buy petrol over fear of possible scarcity or price surge.

According to him, allowing the sale of fuel in dollars will hurt the economy, bring undue pressure, and worsen inflation.

“PETROAN opposes the sale of petroleum products or any other products within Nigeria in dollars. We believe that such a practice would have an adverse impact on the economy, bringing undue pressure on foreign currency and exacerbating Nigeria’s already challenging inflationary situation.

“We urge the government to ensure that all transactions within the country are conducted in the local currency, the naira, to protect the economy and the welfare of Nigerians,” he stated.

PETROAN also raised concerns over the country’s inability to meet the growing demand for petroleum products despite the operationalisation of three local refineries in Nigeria.

It noted that though efforts were being made to boost local production, the supply from these refineries was still insufficient to meet the country’s needs.

In a statement signed by the association’s National Public Relations Officer, Dr Joseph Obele, PETROAN highlighted that the Nigerian National Petroleum Company Limited has two functional refineries, while the 650,000 barrels per day capacity Dangote refinery is also in operation.

Also, several modular refineries and importers are contributing to the petroleum supply chain.

But the association noted that the local production of a combined capacity of about 835,000 barrels per day cannot adequately cater to the country’s daily petroleum demand.

The marketers mentioned that with the current shortfall of local production capacity, the window for importing petroleum products must remain open.

PETROAN argued that allowing the importation of petroleum products would help maintain a stable and sustainable supply in the country, while also fostering healthy competition and keeping prices under control.

“PETROAN remains a strong advocate for the local production of petroleum products. We believe that promoting local production will not only guarantee energy security but also create jobs and stimulate economic growth.

“We also recognize that local production alone may not be sufficient to meet the country’s demand for petroleum products. Therefore, PETROAN supports the position that the window for importation of petroleum products should remain open. This will ensure that the country has a stable and sustainable supply of petroleum products, while also promoting competition and keeping prices in check.

“We are optimistic that the Ministry of Petroleum Resources will continue to work in the best interest of Nigeria and come up with policies and solutions that will ensure the sustainable supply of petroleum products,” the statement added.

The association also expressed concern over the recent panic buying of petroleum products that has been observed nationwide following the temporary suspension of sales in naira by the Dangote refinery.

According to the group, this situation should not serve as a justification for panic buying.

“We wish to reassure the public that this is not a reason for panic. There is no shortage of petroleum products,” PETROAN stated, urging Nigerians to remain calm and continue their daily activities without fear of scarcity.

The association further emphasized that the Federal Government, the Ministry of Petroleum, and relevant regulatory agencies are committed to ensuring a seamless supply of petroleum products.

Dangote exports JetA1

The Dangote Petroleum Refinery’s export of aviation fuel (JetA1) to the United States is set to challenge domestic producers’ economics in the largest fuel-consuming nation.

Six vessels carrying about 1.7 million barrels of jet fuel from the Dangote refinery arrived at US ports this month, according to data from ship-tracking service Kpler.

Another vessel, Hafnia Andromeda, is set to arrive at the Everglades terminal on March 29. 2025, with a load of about 348,000 barrels of jet fuel.

A report by Reuters stated that US jet fuel imports are set to hit a two-year high in March after Nigeria’s Dangote refinery pushed barrels of Jet-A1 to North America. This should lower the prices of the fuel in the peak summer travel season, according to trade analysts and storage brokers.

“The shipments by the 650,000 barrels-per-day Dangote refinery, Africa’s largest, highlight its potential to reshape global fuel trading dynamics by creating a new swing supplier in the Atlantic Basin,” Reuters stated.

The report added that the refinery had already shown signs of success in competing with European refiners on gasoline exports, saying the jet fuel shipments to the United States could challenge domestic producers’ economics.

The total US jet fuel imports in March stood at around 226,000 bpd, the most since February 2023, the data showed.

The Dangote refinery started production in January 2024 after years of construction delays. It ramped up production to about 85 per cent of its 650,000 capacity in February, allowing it to sell more fuel to international markets.

The refinery is planning to hit full capacity this month, but it may be constrained by crude challenges, especially as the Federal Government has reportedly suspended the naira-for-crude deal.

Meanwhile, the Dangote refinery is unlikely to be a regular jet fuel supplier to the US, as a maintenance-related shutdown of the Phillips 66 Bayway refinery in New Jersey helped open a rare arbitrage opportunity for flows from Nigeria to the US, Sparta Commodities analyst James Noel-Beswick told Reuters.

“The window is likely to close soon or shrink significantly due to elevated US inventories of the aviation fuel,” Noel-Beswick was quoted.

It was learnt that the demand to lease storage tanks for jet fuel in Houston and New York Harbor in April is averaging around 700,000 barrels on storage broker TankTiger’s platform, five to six times the average monthly demand, according to TankTiger’s Chief Operating Officer, Steven Barsamian.

The surge in demand, partly due to the influx of supply from Nigeria, is likely to lower jet fuel prices in the US ahead of peak summer travel season, Barsamian said.

Polypropylene production

The Manufacturers Association of Nigeria said on Tuesday that the production of polypropylene by Dangote will revive Nigeria’s struggling textile industry and save the country $267m in import costs.

The Director-General of MAN, Segun Ajayi-Kadir, stated this in an interview on Channels Television’s Business Incorporated. Ajayi-Kadiri highlighted the struggles of the textile industry, which he said was once thriving and employed over 25,000 workers in the northern region alone.

He explained that many companies have been forced to shut down due to the absence of local polypropylene production and the scarcity of foreign exchange required for imports.

He further stated that the production of polypropylene by the Dangote Refinery and Petrochemicals will ensure that Nigeria, which currently imports 90 per cent of its annual polypropylene requirements of about 250,000 metric tonnes will now become a net exporter, generating foreign exchange to strengthen the economy.

“For us in the manufacturing sector, this is a welcome development. It more than covers the 250,000 metric tonnes that constitute our national demand, which has been severely lacking. You can imagine the sectors it will impact—the textile industry, the plastic industry, the furniture industry.

“We are looking at an amount in the region of $267m being saved. This is the amount spent every year in scarce dollars to import these materials. It is a welcome development for manufacturers, as it will incentivise investment in the sector,” he said.

Ajayi-Kadir, who lamented how the collapse of the textile industry led to widespread unemployment, stated that with the local production of polypropylene, manufacturers will no longer need to rely on imported polypropylene.

This, he added, will help reduce their costs and improve efficiency.

“We have seen the global trend of the textile industry relying on the petrochemical industry. So, you can imagine what a boost this is going to bring to the sector.

“And that it is now available locally and does not require that we continue to look for foreign exchange to be able to meet our demands. It is cheering news for manufacturers,” he added.

The manufacturer urged the Federal Government and other stakeholders to support the local production of polypropylene through incentives, stating that this would attract more investments into the sector and increase manufacturers’ contributions to GDP.

Ajayi-Kadir added that this would significantly aid the government’s goal of achieving a $1tn economy.

“If the economy is going to save $267m  in imports at a time when the current government is striving to create a $1tn economy, this is a significant saving, especially considering the scarcity and inadequacy of foreign exchange supply. When we see champions like this blazing the trail, showing that we can even become a net exporter, it is certainly worthy of support.

“The NNPC has a capacity of 13,000 metric tonnes. When you add this to what Indorama has, along with the massive supply we will have from Dangote, we will become a net exporter. This means all our imports from Saudi Arabia, South Africa, South Korea, China, and India will be eliminated. We can now aim for self-sufficiency and even export for foreign exchange,” he added.

Dangote’s $2bn Petrochemical Plant in Ibeju-Lekki, Lagos, is designed to produce 77 grades of polypropylene. With a capacity of 900,000 metric tonnes per year and a turnover of $1.2bn, it aims to meet the growing demand in plastic processing industries globally.

The plant is expected to boost investment in downstream industries, create jobs, increase tax revenues, reduce foreign exchange outflow, and contribute to the country’s GDP growth.

The Lagos State Fire and Rescue Service averted two potential disasters over the weekend, responding swiftly to a gas truck accident in Epe and a tanker mishap on the Apapa-Oshodi Expressway.

Both incidents, which could have resulted in massive explosions, were successfully contained through coordinated emergency response efforts.

A Sunday statement on the Lagos State Fire and Rescue Service X account revealed that one of the incidents happened late on Saturday night with the other earlier.

“A Sino Howo gas truck carrying cylinders lost control and plunged into a ditch at Oke Osho, Ketu-Epe Expressway, due to brake failure.

“Firefighters from the Epe 1 Fire Station promptly arrived at the scene and rescued the driver and his assistant, aged 33 and 30, with minor injuries.

“The swift intervention prevented what could have been a devastating gas explosion,” said Margaret Adeseye, Director of the Lagos State Fire and Rescue Service, in a late Saturday post on X.

She added, “The Lagos Neighbourhood Safety Corps and the Lagos State Transport Management Authority also assisted in securing the scene.”

Fuel tanker explosion averted

Barely a few hours later, another crisis unfolded at about 21:38 hours on the Apapa-Oshodi Expressway, inward Cele bus stop, Okota, Lagos.

A Mack tanker, fully loaded with 45,000 litres of diesel, lost control and overturned, spilling fuel across the highway.

“In the same vein, a Mack Tanker with registration number TTD 541 ZY, fully loaded with 45,000 litres of AGO product, which reportedly lost control while in motion, swerved and fell off the road, causing spillage on the highway,” Adeseye confirmed on Sunday.

“Emergency responders acted swiftly to transload the remaining fuel into another Mack tanker, preventing a potential fire outbreak.

“The driver and his assistant escaped unhurt as the remains of the former vehicle were cleared off the road,” she stated.

The Dangote Petroleum Refinery has temporarily halted the sales of petroleum products in naira as the naira-for-crude talks between the $20bn Lekki-based plant and the Nigerian National Petroleum Company Limited appear to have failed.

Following the announcement of the halt in petroleum products’ sales in naira by the Dangote refinery on Wednesday, the cost of loading petrol at private depots in Lagos jumped to N900/litre. It was less than N850/litre before the announcement.

Industry experts and oil marketers warned that the halt in naira sales by the Dangote refinery could increase the pressure on the foreign exchange market, as dealers would now have to access the United States dollars in large amounts to buy petroleum products.

This came as multiple industry sources familiar with what prompted the failure in the naira-for-crude talk decried the humongous forward sales of crude by NNPCL.

They stressed that the national oil company had used large volumes of its yet-to-be-produced crude oil to acquire loans from various international financial institutions, making it tough for the oil firm to have enough crude to supply the domestic market.

In a statement on Wednesday, the Dangote Group said the suspension of petroleum products’ sale in naira is temporary.

It said, “Dear valued customers, we wish to inform you that the Dangote Petroleum Refinery has temporarily halted the sale of petroleum products in naira. This decision is necessary to avoid a mismatch between our sales proceeds and our crude oil purchase obligations, which are currently denominated in US dollars.

“To date, our sales of petroleum products in naira have exceeded the value of naira-denominated crude we have received. As a result, we must temporarily adjust our sales currency to align with our crude procurement currency.”

The refinery also debunked online reports that it was stopping loading due to an incident of ticketing fraud.

“This is a malicious falsehood. Our systems are robust and we have had no fraud issues. We remain committed to serving the Nigerian market efficiently and sustainably. As soon as we receive an allocation of naira-denominated crude cargoes from NNPC, we will promptly resume petroleum product sales in naira,” the statement said.

Forward crude sale

When asked to state some of the effects that the latest decision of the Dangote refinery would have on the oil sector, a major marketer, who spoke in confidence due to the nature of the matter, replied, “Two key things to ponder. Nigeria generates over 90 per cent of its foreign exchange earnings from the sale of crude oil.

“Secondly, we have not been able to produce much more than 1.6 million barrels a day on a consistent basis. Thirdly, much of that production has already been sold in advance to ease cash flow problems that essentially came about because NNPCL was absorbing the cost of subsidising gasoline prices. So your guess is as good as mine as to how naira for crude can be sustained. If you have an idea please share it with me.”

The oil dealer further noted that the development shows that the naira-for-crude deal between NNPCL and the Dangote refinery may have collapsed.

“I really can’t say beyond the fact that the negotiations may not be going well. As in all negotiations, there must be give and take and compromise. Once either party insists on their own position irrespective of the circumstances, then things might break down,” the dealer stated.

In an interview with one of our correspondents, the NNPCL spokesman, Olufemi Soneye, neither denied nor confirmed claims that the NNPCL was halting the naira-for-crude deal with Dangote refinery.

However, The TheNigerian gathered that discussions about the deal between the Dangote refinery and the Technical Sub-Committee regarding the naira-for-crude deal have collapsed due to what sources described as a lack of enough crude.

Soneye instead insisted that the company had maintained its stance on supplying crude for local refining based on mutually agreed terms and conditions.

“As I have repeatedly stated, NNPC remains committed to supplying crude for local refining based on mutually agreed terms and conditions. Additionally, the NUPRC has disclosed that all local refining companies collectively produce less than 50 per cent of our national consumption. You can do the Maths,” he stated.

Last week, the NNPC announced that it had initiated fresh negotiations with the Dangote refinery over the renewal of the naira-for-crude agreement, as talks were underway in anticipation of the expiration of the first phase which started in October 2024 and ends this month.

Soneye said 48 million barrels of crude had been supplied to the Dangote refinery since October. As the Dangote refinery suspends the sale of petroleum products in naira, it means marketers would have to source dollars before buying petrol from the facility.

With this, the National Vice President of the Independent Petroleum Marketers Association of Nigeria, Hammed Fashola, said there could be pressure on the naira, and that it would lose the stability it had gained lately.

He said, “The price of petrol will depend on the exchange rate, the crude price, and other factors that determine the landing cost. Recently the landing cost was around N774.82, if that is sustainable for now, Dangote’s suspension of naira sales may not affect prices for now. But the dollar may lose value if marketers run after the dollar to buy petrol from Dangote refinery, the naira will lose value again. Let’s wait and see the market reaction to this move from the Dangote refinery.”

In his advice, the IPMAN Vice President appealed to the Federal Government not to stop the naira-for-crude deal.

“I would like to advise the FG to look into the agreement with Dangote again to maintain the tempo of the prices of petroleum products. The masses today are happy with the drop in petrol prices. But just a few hours ago the private depot owners started reacting to the Dangote press release by reviewing their prices upward.

“Yesterday, we closed with N825 to N826, but this afternoon, prices have started increasing again to N835 to N836 per litre. I will appeal to the FG to continue supplying crude to Dangote and other local refiners to maintain stability in the sector,” Fashola said.

Speaking, the National President of the Petroleum Products Retail Outlet Owners Association of Nigeria, Billy Gillis-Harry, said the suspension of the supply of fuel in naira will raise the price again, saying, however, that the Federal Government has yet to stop the naira-for-crude deal.

Gillis-Harry told our correspondent that there was a meeting on Wednesday with the Federal Government and other stakeholders in the sector.

According to him, PETROAN and other marketers made it clear at the meeting that the deal should not be stopped because of its negative effects on fuel prices, saying Dangote might be speculating.

“Dangote’s suspension of fuel supply in naira will certainly affect prices. The price will go up again. But for me, right now, the issue of suspension or cancellation of the naira-for-crude deal has not been categorically made by the Federal Government. We have been in meetings. We asked questions because this naira-for-crude deal is something very important to us as retail outlet owners. Today (Wednesday), I was at a meeting where the subject was discussed.

“So, there was no decision that has been made as we speak. So, I don’t know where that Dangote decision is coming from. But he is a businessman, he can speculate. Every businessman is entitled to a projective opinion,” Gillis-Harry said.

The PETROAN boss told our correspondent that the naira-for-crude deal became a heated topic at the Wednesday meeting as marketers insisted on its continuation.

“We just left the meeting where the subject was a heated one. I’m talking because I led retailers and we know that we want the naira-for-crude deal to stay. So, I’m talking still with the expectation that this will happen,” he added.

The naira-for-crude deal emboldened the Dangote refinery to lower the prices of PMS repeatedly, forcing the NNPC to do so even when it was affecting its margins.

Industry sources said stopping the naira-for-crude deal might be a calculated attempt to reduce the influence of the $20bn refinery, which some players in the downstream accused of planning monopolistic tendencies.

On Tuesday, the Minister of Finance and Coordinating Minister of the Economy, Wale Edun, met with the President of the Dangote Group, Aliko Dangote. The minister was said to have told Dangote about the difficulty in the naira-for-crude deal.

Refiners react

Domestic crude oil refiners argued that the halt in crude supply in naira was the latest ploy to frustrate the Dangote refinery and bring back the full importation of refined petroleum products.

The National Publicity Secretary of the Crude Oil Refinery-owners Association of Nigeria, Eche Idoko, disclosed that suspending the deal defeats the efforts of all stakeholders in the sector to achieve energy security.

He said some persons are aggrieved about the continuous reduction in petrol by the refinery and only use monopolistic talks to bring back importation as an alternative.

He said, “What the Federal Government did during the negotiations was that it shut CORAN and we are not privy to what transpired. We also don’t know the terms and conditions. It is now making it difficult for us to midwife in the conversation. Ideally, the association should have been carried along for advocacy purposes. But right now, whatever it is, it is unfortunate if they allow what everyone has painstakingly worked for to go down the drain.

“At this rate, this means we would revert to full import and that means our naira will begin to struggle again. That is the implication and high petrol price. We knew that the naira-for-crude deal was going to help the Federal Government in the long run. But right now, the issue is that a lot of people are blinded by the fact that Dangote is benefitting from it and not looking at the overall advantages it has for Nigerians.”

The National Public Relations Officer of the Independent Petroleum Marketers Association of Nigeria, IPMAN, Chinedu Ukadike, said the development would jerk up pump prices due to the cost of sourcing foreign exchange to pay for the product.

“Dangote has been under serious pressure to source for dollars to buy crude. And this means marketers would have to buy in dollars. Whatever happens in the oil and gas sector must trickle down to the final consumer. So go and get your dollars ready to buy petrol. We can’t escape price increases. Already at the depot, they have started increasing their price. We appeal to Mr President to please continue the kind gesture for the benefit of Nigerians,” he said.

Amidst these uncertainties, depot owners have increased the loading cost of petrol and other refined petroleum products at the depots.

Several private depots, including Bovas, Aipec, Menj, and Integrated stopped dispensing petrol.

An analysis of data obtained by one of our correspondents revealing petrol price movements at loading depots on Wednesday showed that Chipet depot increased its loading price to N900 per litre from N835 per litre sold earlier in the day.

Rainoil Depot increased its price from N830 to N835 per litre, and Wosbab effected an increase of N9 from N826 to N835 per litre. Pinnacle depot made the same price change from N826 to N835 per litre while MRS Tincan and Nipco changed their prices to N835 per litre from N827 and N825, respectively.

Reacting, an oil and gas expert, Olatide Jeremiah feared that loading cost might increase to N1,000 per litre if a consensus is not reached in the next 48 hours.

Jeremiah, who is the Chief Executive Officer of petroleumprice.ng, said, “The sharp petrol price increase and stop in sales by private depot upon hearing that Dangote refinery has suspended sales of petroleum products reaffirms Dangote as the market leader and driver of the downstream sector. I am calling on NNPCL and NUPRC, as a matter of urgency, to act on section 109 of the PIA act that states clearly that Local refineries should be given unhindered access to crude.

“If Dangote refinery and NNPCL are unable to reach a consensus in the next 48 hours, fuel pump prices might hit 1000/Litre in the coming days.”

•Fuel marketers decry closure of stations at border towns, citizens demand more Nigerian goods

Less than two years after President Bola Tinubu removed the fuel subsidy in Nigeria, the effect of the decision is now being felt deeply by neighbouring Niger Republic.

Also, findings by THE TheNigerian on Sunday from fresh data sourced from the National Bureau of Statistics indicated that trade between Nigeria and Niger Republic surged by 82 per cent in 2024 despite ongoing diplomatic tensions between the two countries.

This came as oil dealers raised concern about the closure of filling stations at border towns, stressing that marketers were losing so much revenue due to the development.

Since the start of March, Niger Republic has been grappling with an unprecedented shortage of the most widely used petrol in the West African country.

Economic activities were brought to a halt as filling stations in Niamey, the capital, and those in other towns ran out of petrol recently.

For several years, the country depended majorly on Nigeria for about 50 per cent of its local fuel consumption, industry players and experts confirmed. Petrol was usually smuggled into the neighbouring country through illegal routes.

However, since President Bola Tinubu’s administration removed the fuel subsidy in 2023, the price of petrol skyrocketed, making the smuggling of the product unattractive to illegal traders in border areas.

Aside from Niger, countries like Benin Republic and Togo were also beneficiaries of Nigeria’s petrol subsidy which stopped immediately after Tinubu took over on May 29, 2023.

The removal of subsidy and the attendant rise in the price of petrol has mounted pressure on Niger’s refinery, which can only produce a few tankers of fuel per day.

The Commercial Director of the state-owned Nigerien Company for Oil Products (Sonidep), Maazou Oumani Aboubacar, confirmed that half of the country’s consumption used to come from Nigeria until this was halted by the current administration.

Aboubacar told AFP that the Soraz refinery in Zinder is the only one in the country, saying it “can no longer satisfy domestic demand,” which has surged for more than a year now.

The reason is principally down to the drying up of the flourishing black market supplied from neighbouring Nigeria, a major global producer. It was learnt that the country’s refinery only provides Sonidep with “25 tanker trucks of petrol a day” when the daily national requirement is up to twice that.

Domestic consumption was said to have been boosted by a cut in fuel prices introduced by the military regime that seized power in Niger in 2023. The official stated that two years ago, prices tripled after the Nigerian President ended costly fuel subsidies.

“The fuel that came into Niger illegally from Nigeria represented up to half of the market. It supplied the large regions near the border between the two countries,” Aboubacar was quoted as having said.

With Nigerian smugglers supplying up to 50 per cent of the country’s daily petrol consumption up till 2023, the country’s refinery was producing a little to augment the supply from Nigeria.

However, the country faced the reality after Tinubu declared that “the fuel subsidy is gone” and tightened up the borders.

The National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria, Chinedu Ukadike, said the removal of subsidy, as well as the Operation Whirlwind of the Nigeria Customs Service going on across the borders, is taking its toll on Niger and other neighbouring countries.

Ukadike told our correspondent that when petrol was subsidised in Nigeria, neighbouring countries benefitted through illegal merchants who smuggled the product out of the country.

The marketer disclosed that the high cost of petrol reduced illegal bunkering, forcing Niger and others to either refine or import their petroleum products directly at the right price.

“It is true that when Nigeria was subsiding fuel, other neighbouring countries were enjoying subsidies too. As it is now, the rise in the price of fuel in Nigeria has reduced smuggling. The ongoing Operation Whirlwind has also reduced smuggling. The option available to the Niger Republic and other neighbouring countries enjoying our subsidy is to import PMS directly if they cannot refine it.

“When we subsidised our fuel, they were benefitting, and smuggling was thriving. Now that we have deregulated the downstream, smuggling has been reduced; security agencies are all over the borders through Operation Whirlwind. This has stopped illegal fuel export to Niger and it is one of the major reasons for their current fuel crisis,” Ukadike explained.

The TheNigerian gathered that the fuel crisis in Niger reached alarming proportions last week after a litre of petrol sold for as high as N8,000 in some parts of the country.

Findings by our correspondents in Sokoto State, which shares a border with Niger, showed that the price of petrol varied depending on the distance from Nigeria.

A transborder businessman from Nigeria, Abubakar Usman, was quoted as saying, “There is a serious scarcity of fuel in the country. It depends on where one is getting the fuel.

“In Konni, the border town between Nigeria and Niger, you can get a litre at 1,200 CFA, which is about N2,500. If you go to Agadez, the same litre of fuel is 3,000 CFA, equivalent to N7,500 per litre. In Arilit, a local government under Agadez, which is the border town between Niger and Algeria, it is 3,500 CFA, which is about N8,750 when converted to our currency.”

To solve its fuel crisis, Niger Republic turned to Nigeria despite months of diplomatic tensions and a hostile relationship, as reported by Sunday TheNigerian.

The report stated that a delegation of senior officials of the military junta travelled down to Abuja to meet Federal Government representatives behind closed doors.

At the end of the deliberation, 300 trucks of PMS were reportedly approved for delivery to the country as Nigeria, once again, played the ‘big brother’ role.

Sunday TheNigerian also reported that a senior government official aware of the development said Nigeria approved the deal with the hope of using it as a “strategic bargaining tool” in ongoing negotiations with Niger.

According to the official, the delegation explained that Niger had been reliant on fuel from a Chinese refinery. However, due to issues with the supplier, the refinery was shut down, leaving the country with limited options.

“We do not want to blow our trumpet. Rather, we want to use it as a bargaining chip for negotiation as we continue to engage with them to bring them back to ECOWAS.

“Let them get more from us. I am confident that gradually they will come back to ECOWAS because they do not have enough resources to import food to sustain their citizens,” the source added.

Reacting, oil marketers said although they were not aware of the deal, the export of 300 tankers to Niger Republic would amount to about 13.5 million litres of petrol. It was calculated that 300 of 45,000-litre capacity trucks are about 13.5 million litres of petrol to be exported to the Niger Republic.

The dealers, however, stated that Nigeria had enough to save the junta-led country from the current fuel crisis rocking it. According to marketers, Nigeria may have passed the days of fuel scarcity as it now has the Dangote refinery, the Port Harcourt refinery, and others producing fuel locally even as importers bring more from other countries.

The National Vice President of the Independent Petroleum Marketers Association of Nigeria, Hammed Fashola, said he was aware of the fuel crisis in Niger Republic, adding that Nigeria had enough to bail out the country.

“I will not say we don’t have that capacity with the refineries we have in the country. I think we have enough to supply Niger Republic,” the IPMAN Vice President said

Similarly, the National President of the Petroleum Products Retail Outlet Owners Association of Nigeria, Billy Gillis-Harry, agreed that the country had enough PMS to help its neighbours without running into any crisis. “If we have a diplomatic reason for that, it is doable,” Gillis-Harry asserted.

It was further gathered that the fuel crisis in Niger may have also been self-inflicted after a confrontation between the ruling junta and Chinese oil companies which had long dominated the country’s petroleum sector.

A security analyst, Zagazola Makama, in an article he published on X, revealed that trouble began in March 2024 when the China National Petroleum Corporation granted the Nigerien government a $400m advance, using future crude oil deliveries as collateral.

The deal was to help Niger cope with crippling economic sanctions imposed by the Economic Community of West African States following the July 2023 coup in the country. However, when it was time to repay the debt, the junta was cash-strapped.

Instead of negotiating, the military rulers were said to have decided to strong-arm China, slapping an $80bn tax demand on Soraz (Zinder Refinery Company) despite the state-owned oil company, Sonidep already owing Soraz a staggering $250bn.

According to Makama, when China refused to provide additional loans, the junta retaliated by expelling Chinese oil executives from the country and seizing Soraz’s bank accounts. The decision was said to have backfired and led to the collapse of Niger’s petroleum sector, which is heavily reliant on Chinese expertise and investment.

Exports surge

Meanwhile, further findings by The TheNigerian showed that trade between Nigeria and Niger rose by 82 per cent in 2024 despite ongoing diplomatic tensions between the two countries.

Data from the National Bureau of Statistics revealed that the total trade volume between the two West African neighbours climbed to N91.92bn in 2024, up from N50.48bn recorded in 2023.

The sharp rise was largely driven by Nigerian exports to Niger, which nearly doubled from N46.51bn in 2023 to N82.38bn in 2024. The TheNigerian observed that exports to Niger account for 89.62 per cent of total trade between the two countries.

Imports from Niger also rebounded from N3.97bn in 2023 to N9.53bn in 2024, indicating a recovery in economic exchanges despite strained relations between the two countries.

Trade between Nigeria and Niger has been volatile in recent years. In 2020, total trade was valued at just N6.69bn, before surging to N88.60bn in 2021 as Nigerian exports to Niger jumped to N78.40bn.

The momentum continued in 2022, with total trade reaching N95.76bn. However, economic activity between the two countries nosedived in 2023, dropping by 47.28 per cent to N50.48bn, following the fallout from the political crisis in Niger.

The coup in Niger in July 2023, which led to the removal of President Mohamed Bazoum, triggered a diplomatic standoff between the country and Nigeria, which spearheaded ECOWAS’ sanctions against the military-led government.

The sanctions included border closures, financial restrictions, and the suspension of the electricity supply, all of which disrupted trade and economic activities between the two nations.

Despite the tensions, trade rebounded strongly in 2024. The 82 per cent surge suggests that demand for Nigerian goods in Niger remains robust, while the recovery in imports indicates a gradual resumption of economic ties.

Nigeria and Niger share deep economic and cultural ties, with trade spanning across agricultural products, manufactured goods, petroleum products, and livestock. Nigerian traders have historically supplied Niger with essential goods, while Niger’s exports to Nigeria include livestock, food products, and raw materials.

In August 2024, Nigeria and Niger signed a security cooperation agreement aimed at tackling insurgency, smuggling, and other security threats along their shared borders. The agreement was seen as a step towards rebuilding relations, even though full diplomatic ties between the two countries remain fragile.

The resurgence of trade between the two nations signals a pragmatic approach to economic engagement despite unresolved political differences.

Niger is a major trading partner to Nigeria as noted in the recently released NBS’ foreign trade statistics report for the fourth quarter of 2024, which read in part, “In the same vein, Nigeria’s major trading import partner within ECOWAS was Ivory Coast (N41.40bn), followed by Ghana (N22.96bn), Liberia (N4.04bn), Niger Republic (N2.62bn) and Togo of (N2.21bn) representing (90.45 per cent) of total imports from the ECOWAS region.”

The TheNigerian further observed that about N9.34bn worth of cigarettes were imported from Nigeria into Niger Republic. It was also observed that Nigeria’s imports from Niger Republic in Q4 2024 were led by agricultural and raw materials, with fresh or dried dates topping the list, according to data from the NBS.

The report shows that Nigeria imported N956.68m worth of dates, making it the highest-valued import from Niger during the period. The second most imported commodity was cement, excluding white cement, with a total value of N919.07m.

This indicates a growing demand for cement products from Niger, potentially driven by infrastructure development and construction activities in Nigeria.

Fresh strawberries were another notable import, valued at N255.97m. While not a major staple, the increase in strawberry imports suggests rising consumer demand for fresh fruits, possibly linked to Nigeria’s expanding food processing and retail sectors.

Raw materials also featured among the top imports, with whole hides and skins (weighing more than 16kg) accounting for N125.65m in imports. The leather and tanning industry in Nigeria continues to rely on imports of raw hides, especially from neighbouring countries, to sustain production.

Also, Nigeria imported N80.66m worth of shelled pine nuts from Niger. These nuts are often used in food processing and are valued for their nutritional benefits.

The TheNigerian further observed that Trade between Nigeria and the Sahel nations of Burkina Faso and Mali experienced significant fluctuations over the past five years, with a notable surge in 2024.

Fresh data from the NBS show a sharp increase in Nigeria’s total trade with both countries, driven by rising exports and a dramatic spike in imports from Mali. Nigeria’s trade with Burkina Faso rose from N12.92bn in 2023 to N18.26bn in 2024, marking a 41.4 per cent increase.

This growth was largely fuelled by higher exports, which climbed from N12.92bn to N18.20bn. Imports from Burkina Faso, though much smaller in volume, also recorded a sharp rise from N4.41bn to N59.16bn within the same period.

Similarly, Nigeria’s trade with Mali saw an unprecedented jump, with total trade reaching N199.21bn in 2024, a massive leap from N12.57bn in the previous year. The most striking change was in Nigeria’s imports from Mali, which surged from just N269.87m in 2023 to N183.79bn in 2024.

This marked a significant shift in trade dynamics, raising questions about the factors driving such an increase.

Meanwhile, Nigeria’s exports to Mali also grew from N12.30bn in 2023 to N15.42bn in 2024, maintaining a steady upward trend.

The rise in trade with Burkina Faso and Mali comes amid the formation of the Alliance of Sahel States, a new regional bloc created by Burkina Faso, Mali, and Niger in September 2023.

The alliance, established through the Liptako-Gourma Charter, aims to enhance security cooperation among the three military-led governments, following their deteriorating relations with the Economic Community of West African States.

The AES was formed as a response to ECOWAS sanctions imposed after the military takeovers in the three countries, leading them to seek alternative economic and security partnerships.

Despite political tensions, economic ties between Nigeria and the three Sahel nations appear to be strengthening.

However, the long-term sustainability of this trade surge remains uncertain, especially as ECOWAS continues to push for a resolution to the political crisis in the region.

The Economic Community of West African States recently activated its standby force to combat terrorism in the sub-region.

The regional body had, in October last year, hinted at the establishment of a 5,000-man kinetic force to tackle terrorism in the region.

Speaking at the 43rd ordinary meeting of the ECOWAS Committee of Chiefs of Defence Staff in Abuja, Nigeria’s Minister of Defence, Abubakar Badaru, said the activation of the standby force underscored the collective determination of member countries to confront the threat of terrorism.

The ECOWAS Commissioner for Political Affairs, Peace, and Security, Dr Abdel-Fatau Musah, also said that despite the recent withdrawal of three African countries from the regional body, ECOWAS would maintain the free movement of persons and goods for their citizens.

He also said plans were in place to mitigate the unforeseen consequences of the withdrawal of Niger, Burkina Faso, and Mali.