Iran War Escalates Demand Surge for Dangote Refinery Across Africa

As Middle East tensions intensify with the Iran war, petrol demand for Nigeria’s Dangote Refinery is surging across Africa, building on recent shifts by countries like South Africa and Ghana amid the Strait of Hormuz siege.

A ThisDayLive article dated March 21, 2026, highlights how the Iran war is driving heightened petrol demand for the Dangote Refinery throughout Africa. This development follows reports from March 20 of countries including South Africa, Ghana, and Kenya turning to the refinery due to tightening Middle East fuel supplies from the Strait of Hormuz siege (Daily Trust). The refinery is emerging as a key alternative amid these regional disruptions. Specific details on demand volumes, additional countries, or timelines remain unavailable in the source excerpt.

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Dramatic aerial view of Iranian naval blockade in the Strait of Hormuz, halting oil tankers amid US-Israel tensions, with surging global oil prices.
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Iran blocks Strait of Hormuz amid escalation with US and Israel

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Escalation of conflict between Iran, the United States, and Israel has led Iran to order the closure of the Strait of Hormuz, halting tanker traffic and driving global oil prices above US$80 per barrel. The effects extend to Europe, which is now reconsidering plans to end Russian gas imports, while Indonesia pushes for de-escalation via the D-8 organization and assures stable fuel supplies.

Several African countries, including South Africa, Ghana and Kenya, are turning to Nigeria’s Dangote Refinery as fuel supplies from the Middle East tighten due to a siege in the Strait of Hormuz.

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Mkulima Bihiari wa Nigeria, Aliko Dangote, amewahakikishia Marais William Ruto wa Kenya na Yoweri Museveni wa Uganda kuwa atajenga kisasa cha mafuta sawa na kilichopo Lagos ikiwa watatoa msaada. Kisasa hicho kitajengwa eneo la Tanga nchini Tanzania, pamoja na bomba la mafuta kuunganisha na Mombasa. Ahadi hii ilitolewa katika Mkutano wa Afrika We Build 2026 Nairobi leo.

Minister of Mineral and Petroleum Resources Gwede Mantashe says evolving tensions in the Middle East are negatively impacting global oil prices. Oil prices are expected to rise sharply next month due to the regional conflict. He made these remarks in his keynote address at the 5th annual Southern Africa Oil and Gas Conference in Cape Town.

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Oil prices surged about 20% on Monday as the expanding U.S.-Israeli war with Iran prompted major Middle Eastern producers to cut supplies, reaching highs not seen since July 2022. Iraq and Kuwait have reduced output, amid fears of prolonged disruptions in the Strait of Hormuz. The conflict could impose weeks or months of elevated fuel costs worldwide, even if it resolves quickly.

The Iran war has caused worldwide petrol price hikes, expected to accelerate global electric vehicle (EV) uptake. In China, more than half of new car sales were EVs in 2025, potentially saving US$28 billion a year in avoided oil import costs.

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South Africa’s Reserve Bank Governor Lesetja Kganyago has warned that the war in the Middle East will lead to higher fuel and food prices due to rising oil and fertiliser costs. He made the comments while attending the IMF and World Bank Spring Meetings in Washington DC. The impacts are expected to filter through the economy later this year.

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Dangote apendelea Mombasa kujenga kiwanda cha mafuta

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Mantashe calls for accelerated oil and gas development

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South Africa’s fuel supply strained amid Middle East conflict

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Iran-Israel war escalates with Strait of Hormuz closure

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Bei za mafuta zinapanda Kenya mbele ya mapitio ya EPRA baada ya Iran kufunga Mlango wa Hormuz

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OPEC+ considers larger oil supply hike after strikes on Iran

 

 

 

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