Ghana looks to Dangote refinery in Nigeria as fuel prices rise

Nii Ayitey Brown 16:56 - 31 March 2026

Ghana considers a fuel supply deal with Nigeria’s Dangote Refinery as rising global oil prices push up petrol and diesel costs, aiming to stabilise supply and reduce pressure on consumers.

Ghana is exploring a possible fuel supply deal with Nigeria’s Dangote Refinery as the country looks for ways to manage rising fuel prices and reduce pressure on consumers.

According to President Mahama, the move comes at a time when global oil prices are increasing, pushing up the cost of petrol and diesel locally.

He made these remarks on Monday, March 30th, during a Presidential Dialogue with Civil Society Organisations at the Jubilee House.

The government is therefore considering alternative supply options that could offer more stable and possibly cheaper fuel.

"Even though prices have increased, we have the opportunity to compare prices on the international market. If it means entering into an agreement with Dangote Refinery to bring finished products from Nigeria to Ghana, I think we should be able to do that," he said.

The Dangote Refinery, located in Lagos, is one of the largest oil refineries in Africa, with the capacity to process about 650,000 barrels of crude oil per day. It was built to reduce Africa’s dependence on imported refined petroleum products.

For Ghana, sourcing fuel from a nearby refinery reduce exposure to global supply shocks. Ghana could benefit in several ways including lower fuel costs, more stable supply from a closer and reliable source, and less pressure on the cedi, since shorter supply chains may reduce demand for foreign currency.

This could help cushion consumers from frequent fuel price hikes, which have become common in recent months. Despite the potential deal, Ghana is still affected by global oil market trends.

Prices continue to fluctuate due to geopolitical tensions, including the ongoing US-Iran war which has disrupted supply chains and driven up costs worldwide.

Recent increases at the pumps, with petrol and diesel prices rising across several Oil Marketing Companies, reflect these global pressures.

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