Niger Faces Deep Fuel Crisis as Petrol Sells for N8,000 Per Litre, Refinery Chief Gives Reasons
- Petrol smuggling along the Niger-Nigeria border has increased following a massive fuel shortage in Niger Republic
- The development has been worsened as the black market has dried up as Nigeria removed subsidies from petrol
- However, a security analyst traced the fuel crisis in Niger to the shutdown of a Chinese refinery in the country after a fallout with the military junta
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Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
Petroleum product smuggling has increased along the Nigeria-Niger borders as the neighbouring country faces the worst energy crisis in a decade.
The development comes as Niger faces fuel shortages after exiting the Economic Community of West African States (ECOWAS) and joining the Alliance of Sahel States.
Source: Getty Images
Security analyst explains fuel crisis in Niger
However, the commercial director of Nigerien Company for Oil Products (Sonidep), Mazzaou Aboubacar, disclosed that the SORAZ oil refinery in Zinder could no longer meet the country’s domestic fuel consumption needs.
He said that the reason was because of the scarcity of fuel in the black market from Nigeria.
The country’s refinery supplies Sonidep with about 25 petrol tanker trucks daily, when the country’s daily consumption is about 50.
Zagazola Makama, a security analyst disclosed on X that the fuel crisis between Niger’s junta and China National Petroleum Corporation (CNPC) caused the problem.
The country had relied on fuel from the Chinese refinery, the Societe de Raffinage de Zinder (SORAZ), which closed operations in March last year following a fallout with the country’s junta and CNPC. Since then Niger has had a limited fuel supply.
According to Makama, in March 2024, CNPC approved $400 million in advance with crude oil deliveries as collateral.
Niger military junta expels refinery operators
However, the junta refused to pay due to a shortage of funds, leading to the shutdown of the refinery.
The junta also reportedly expelled the Chinese oil executives from the country, seizing SORAZ’s bank accounts.
The move led to the refinery shutting down operations and plunging the country into a fuel crisis.
Daily Trust reported that the head of the junta, General Abdulrahman Tchiani, accused Nigeria and France of conniving with terrorist groups to frustrate the country.
He disclosed in a Christmas Day interview that President Bola Tinubu, Nigeria’s National Security Adviser, Nuhu Ribadu, and an ex-Director General of Nigeria Intelligence Agency (NIA), Ahmed Rufai, received money to allow foreign forces to infiltrate Niger.
The Nigerian government dismissed his claims, with Ribadu calling them baseless.
Nigeria allegedly sends 300 trucks to Niger
ECOWAS also refuted Tchiani’s allegations, affirming Nigeria’s commitment to regional stability.
However, reports said that the Nigerian government sent about 300 trucks of fuel to Niger.
There are no official statements from the Nigerian government about the reported fuel supply as the Ministry of Foreign Affairs refused to comment on the issue.
Dangote Refinery crashes petrol prices
The development comes after the Dangote Refinery crashed petrol prices again to N815 per litre from N825.
On Thursday, March 13, 2025, the Dangote Refinery took the petrol price war to the next level by quietly lowering the PMS price at its loading gantry.
A previous report by Legit.ng disclosed that petrol landing costs dropped to N744.72 per litre, with marketers predicting a further price crash of N800 per litre.
Punch reports that the new landing cost is N50.28 less than the former rate of N825 per litre, which Dangote Refinery sells its products.
Source: Getty Images
The new petrol landing cost ignited another price war between Dangote Refinery and oil marketers as importers reportedly moved to dump the refinery for imported products.
Niger Seeks Help From Nigeria
Legit.ng earlier reported that Niger Republic turned to Nigeria for fuel supplies despite tension between the two countries in recent months.
The African country was facing severe petrol shortages pushing petrol prices to as high as N8,000 per litre.
It was reported that Niger’s fuel shortage had reached critical levels and dealers were selling in Konni, a border town near Nigeria for around 1,200 CFA (N2,500) per litre.
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Proofreading by Kola Muhammed, copy editor at Legit.ng.
Source: Legit.ng
Pascal Oparada (Business editor) For over a decade, Pascal Oparada has reported on tech, energy, stocks, investment, and the economy. He has worked in many media organizations such as Daily Independent, TheNiche newspaper, and the Nigerian Xpress. He is a 2018 PwC Media Excellence Award winner. Email:pascal.oparada@corp.legit.ng
Kola Muhammed (Copyeditor) Kola Muhammed is an experienced content strategist who has overseen content and public relations strategies for some of the biggest (media) brands in Sub-Saharan Africa.
