Nigeria’s $2.25 Billion Fuel Imports from Malta Spark Controversy Over NNPC Blending Plants

Recent data reveals that Nigeria has imported $2.25 billion worth of fuel from Malta over the past nine years, raising concerns amid allegations of possible involvement by Nigerian National Petroleum Company Limited (NNPCL) officials.

Alhaji Aliko Dangote, founder of Dangote Petroleum Refinery, has accused some NNPCL officials of owning blending plants in Malta. These plants, which mix re-refined oil with additives, are used to produce finished lubricant products rather than refining crude oil.

Trade Map data indicates that Nigeria’s import of petroleum oils from bituminous minerals surged to $2.8 billion in 2023, up from just $47.5 million in 2013—a 342% increase.

Imports from Malta were recorded at $59.98 million in 2014, $117.01 million in 2015, and $13.32 million in 2016. There were no imports from Malta between 2017 and 2022. However, in 2023, this figure spiked dramatically to $2.08 billion, reflecting a forty-threefold increase over the decade.

In response to Dangote’s allegations, NNPCL’s Group Chief Executive Officer, Mele Kyari, denied any association with blending plants in Malta or elsewhere, except for a local mini-agriculture venture. Kyari emphasized that any involvement of NNPC staff in such activities would result in sanctions and asserted that these allegations do not affect NNPC’s operations or strategic decisions.

Dangote’s comments follow criticisms from Farouk Ahmed, Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, regarding the sulfur content in diesel produced by the Dangote refinery. Dangote has dismissed these claims as an attempt to undermine his refinery, while Ahmed has argued that continued fuel imports are necessary to prevent monopolistic control by Dangote’s refinery.