President of Dangote Industries Limited, Aliko Dangote, has attributed the relatively high price of petrol in Nigeria partly to continued smuggling into neighbouring countries where the commodity sells at significantly higher prices.

Dangote made the remarks in an interview aired on Arise TV on Tuesday while discussing petrol prices and supply concerns arising from the ongoing crisis in the Middle East.

He said petrol prices in neighbouring countries were between 30 and 50 per cent higher than Nigeria’s, creating a strong incentive for traders to move the product across the borders for higher returns.

Dangote specifically cited Niger, where he said petrol was selling for about 20 to 25 per cent more than in Nigeria.

He explained that a product purchased in Nigeria could be transported across the border and sold at a substantial premium, making smuggling financially attractive.

According to him, some traders could claim to be transporting petrol to locations such as Sokoto before diverting the product to border communities such as Ilela for sale in neighbouring countries.

He said the resulting diversion reduced the quantity of petrol available to Nigerian consumers.

Dangote, however, warned that the major challenge facing the downstream petroleum sector could shift from price to product availability as the Middle East crisis affects global energy markets.

He assured Nigerians that the Dangote refinery was prepared to continue supplying the domestic market despite the international challenges.

He said the refinery would maintain sufficient supply and prevent shortages or queues, adding that the company would continue meeting domestic demand “despite all odds”.

His comments came a day after the Dangote refinery opened its N2.15tn Initial Public Offering on the Nigerian Exchange.

The IPO comprises 4.1 billion ordinary shares offered at N525 each, with a minimum subscription of 10 shares valued at N5,250. The offer is scheduled to close on October 13, 2026.