Nigeria has stepped in to assist Niger Republic with fuel supplies after the West African nation faced a crippling fuel shortage. This move comes despite months of strained diplomatic relations and allegations from Niger’s ruling military junta.
A delegation of senior Nigerien officials reportedly traveled to Abuja to seek help, leading to Nigeria approving the delivery of 300 trucks of Premium Motor Spirit (PMS) to the country.
According to a senior government official, the decision was strategic, with Nigeria hoping to leverage it as a “bargaining tool” in ongoing negotiations to bring Niger back into the Economic Community of West African States (ECOWAS).
Niger’s fuel crisis worsened after its primary supplier, a Chinese-owned refinery, halted operations due to financial disputes. Reports indicate that fuel prices skyrocketed, with a liter selling for as high as N8,750 in some areas. A Nigerian businessman, Mallam Abubakar Usman, confirmed that the shortage had severely impacted border communities, with fuel prices varying depending on proximity to Nigeria.
A source from the Nigerian Immigration Service also confirmed seeing fuel trucks crossing the border, reinforcing Nigeria’s role in easing the crisis.
The crisis stems from a financial standoff between Niger’s military rulers and Chinese oil firms, which had long dominated the country’s petroleum sector. Security analyst Zagazola Makama revealed that tensions escalated in March 2024 when China National Petroleum Corporation (CNPC) provided a $400 million advance to Niger’s government, using future crude oil deliveries as collateral.
However, when the junta failed to repay the debt, instead of negotiating, they imposed an $80 billion tax demand on Soraz, the Chinese-run refinery in Zinder.
China retaliated by refusing further financial assistance, leading Niger to expel Chinese oil executives and freeze Soraz’s bank accounts. The move backfired, effectively collapsing the country’s petroleum sector and plunging it into a severe fuel shortage.
Despite the crisis, Niger’s state media has reportedly downplayed Nigeria’s assistance, instead attempting to frame the fuel deliveries as a result of internal measures. Makama noted that while shipments from Nigeria have begun easing the crisis, the junta remains reluctant to acknowledge its dependence on its southern neighbor.
While the Nigerian government has remained largely silent on the details of the fuel arrangement, sources suggest that the move is part of a broader diplomatic strategy. “Let them get more from us. I am confident that gradually they will come back to ECOWAS because they do not have enough resources to import food to sustain their citizens,” a Nigerian government official stated.
The decision to assist Niger comes despite accusations from the junta, including claims that Nigeria was colluding with France to destabilize Niger through terrorism. The Federal Government previously dismissed these allegations.
Oil industry stakeholders have assured that Nigeria has the capacity to support Niger without jeopardizing its own fuel supply. Industry estimates suggest that the 300 fuel trucks amount to approximately 13.5 million liters of PMS.
The National Vice President of the Independent Petroleum Marketers Association of Nigeria, Hammed Fashola, confirmed that Nigeria has enough fuel reserves to assist Niger, citing increased local refining capacity, including the Dangote refinery. Similarly, Billy Gillis-Harry, President of the Petroleum Products Retail Outlet Owners Association of Nigeria, emphasized that the country could afford to help its neighbor without experiencing fuel shortages.
Nigeria’s decision to aid Niger despite ongoing diplomatic tensions underscores its role as a regional powerhouse. Whether this move will successfully restore ties and bring Niger back into ECOWAS remains to be seen. However, for now, fuel shipments from Nigeria are helping to alleviate the crisis in its northern neighbor—lwhether the Nigerien junta acknowledges it or not.