Dangote proposes petroleum storage terminal in Cameroon to expand Central Africa fuel exports

Dangote Group has proposed building a petroleum products storage terminal in Cameroon to expand distribution across Central Africa. The project, still under discussion, could improve Cameroon's fuel security and supply neighbouring countries.

The proposal was presented on Tuesday, July 21, 2026, to Cameroon's Prime Minister, Joseph Dion Ngute, by the Group’s Vice President for Oil, Gas and Fertiliser, Devakumar Edwin, according to Punch. The proposed terminal is designed to bolster Cameroon’s strategic fuel reserves, improve energy security and potentially include pipeline infrastructure for transporting refined petroleum products.

Strategic benefits for the region

The pipeline could reduce dependence on road transportation, lower logistics costs and minimise environmental impacts. If approved, the facility would create another export channel for refined petroleum products from Dangote’s 650,000-barrel-per-day Lekki refinery, which was built to satisfy Nigeria’s domestic fuel demand while serving markets across Africa.

Reports indicate that the proposed storage terminal would enable Dangote to supply not only Cameroon but also neighbouring landlocked countries such as Chad and the Central African Republic, both of which depend heavily on Cameroonian ports for fuel imports. By positioning petroleum inventories closer to key markets, the company is expected to shorten delivery times, cut transportation expenses and improve the efficiency of fuel distribution throughout the region.

Uncertainties and next steps

Despite the presentation, discussions remain at an early stage, with no formal agreement announced by either party. Dangote Group has yet to reveal where the terminal would be located, the volume of products it would store, the expected investment cost or the timeline for execution. The company has also not clarified whether the project would be fully owned by Dangote, undertaken in partnership with the Cameroonian government or structured as a public-private partnership.

For Cameroon, the investment could enhance fuel supply security and broaden the country's sources of refined petroleum products, provided the project aligns with national pricing regulations, tax policies and strategic reserve objectives. Industry observers say the planned facility could either complement Cameroon’s existing petroleum infrastructure investments or compete with them for access to port facilities, financing, pipeline systems and refined product volumes.

Broader strategy and market implications

Should the project proceed, it would mark Dangote Group’s entry into Cameroon’s downstream petroleum sector, complementing its existing cement manufacturing operations in Douala. The proposal reflects the company’s broader strategy of building a regional fuel distribution network anchored by the Lekki refinery, which has continued to expand exports of refined petroleum products to markets across Africa and beyond.

For Nigeria, the planned terminal strengthens the naira by creating another dollar-earning export channel for refined fuel. Consumers could eventually benefit from more efficient regional supply chains that lower landed costs of petroleum products across West and Central Africa.