 |
| Dr. Thomas Ogungbagbe |
Two decades ago, the documents that would eventually define one of Nigeria’s most significant indigenous energy companies sat in the boot and back seats of a car. The “office” was a living room.
The vision, however, was far larger: to break into an aviation fuel sector long dominated by multinational oil majors and prove that a Nigerian-owned enterprise could supply critical Jet A-1 fuel reliably across the country’s airports and beyond.
On Friday, at the Grandeur Event Centre in Oregun, Ikeja, Lagos, that vision was celebrated as CITA Energies marked its 20th anniversary. Chairman Dr. Thomas Ogungbangbe recounted the journey from those modest beginnings to an enterprise whose facilities are now valued at nearly $200 million. The company operates at 17 airports spanning Nigeria’s six geopolitical zones and has extended its international aviation fuel supply network across several continents.
“CITA started right inside my living room and my car,” Ogungbangbe recalled. “Today, the company has grown to become the largest indigenous aviation fuel company by facilities in Nigeria and West Africa.”
The story is more than a classic rags-to-riches business tale. It mirrors Nigeria’s broader struggle to localise critical segments of its petroleum value chain, the gradual opening of once-closed industries to indigenous players, and the operational realities of keeping aircraft flying in a challenging economic environment.
Breaking a Century-Old Monopoly
For much of the post-independence era, aviation fuel supply in Nigeria was tightly controlled. Industry accounts indicate that for nearly a century, only about six companies—predominantly international oil firms—dominated the space. Entry barriers were high, technical requirements stringent, and local participation minimal.
Ogungbangbe’s path into the sector began with senior roles at established players. He served as Aviation Commercial Manager and later Divisional Business Manager at what is now Conoil, then as General Manager of Aviation Business at MRS Oil & Gas. He was seconded to Chevron Oil Nigeria as Aviation Marketing Manager for West Africa and rose to Group Aviation Manager for West and Central Africa. He also played a foundational role at Sahara Group’s aviation operations (later linked to Asharami Synergy), where advocacy and negotiations helped open the door for additional indigenous participation. Sahara became the seventh major player, cracking the long-standing oligopoly. Today, more than 40 aviation fuel marketers operate in Nigeria—a transformation Ogungbangbe helped catalyse.
CITA Energies itself emerged in 2006. A pivotal early decision involved choosing investment in a neglected mobile fuel depot in Port Harcourt over personal comfort. Operating initially as an arbitrage and fuel-reselling business, the company gradually built physical infrastructure. A 2015 milestone saw the commissioning of an aviation fuel storage and handling facility at Murtala Muhammed International Airport in Lagos while the firm was already present at 10 major airports. That investment signalled confidence that a Nigerian company could commit serious capital to specialised aviation infrastructure.
Scale, Operations and the Demands of Reliability
Today CITA reports access to substantial storage capacity (figures cited in company materials and anniversary remarks range from over 20 million litres to more than 200 million litres across facilities), a fleet of approximately 45 aircraft refuellers, and more than 200 bulk road vehicles. These assets support significant into-plane Jet A-1 throughput and enable operations that never stop.
“As long as aircraft are flying in the sky, you must be on the ground pumping fuel,” Ogungbangbe noted. Aviation fuel supply operates around the clock, through weekends and public holidays. Early employees, he recalled, worked in heavy rain and intense sunshine while establishing the business. A documentary screened at the anniversary traced the expansion from the Port Harcourt base to the current nationwide network.
The company has also pursued international standards. In early 2026 it secured a “triple crown” of ISO certifications—ISO 9001:2015 (quality management), ISO 14001:2015 (environmental management), and ISO 45001:2018 (occupational health and safety)—covering operations across multiple airfields. These certifications align CITA with global benchmarks for safety and consistency in a sector where fuel quality is non-negotiable.
Industry Headwinds and Policy Opportunities
Ogungbangbe has repeatedly framed CITA’s growth against Nigeria’s difficult business climate and shifting petroleum policies. Changes that opened space for indigenous operators after decades of multinational dominance created the opening CITA seized. At the same time, structural challenges persist: foreign exchange pressures, logistics costs, and pricing dynamics.
The arrival of the Dangote Petroleum Refinery marked a historic shift. Nigeria had long imported virtually all its Jet A-1 because older refineries did not produce the specialised product consistently.
Local refining has largely eliminated scarcity. Yet Ogungbangbe has publicly called for a review of pricing structures, noting that while availability improved, cost pressures on airlines remain.
Marketers often price on global formula averages, while local supply arrangements can introduce additional financing and logistics burdens. Some operators, he observed, may still find imported product more competitive under certain conditions.
Infrastructure gaps compound the issue. Ogungbangbe has long advocated restoring the dormant roughly 98-kilometre aviation fuel pipeline from Atlas Cove through Mosimi and Ejigbo to Murtala Muhammed International Airport. Shut down after an incident in the late 1990s or early 2000s (accounts vary slightly on the exact year), the line, he argues, remains structurally viable.
Rehabilitation could remove more than 100 fuel trucks daily from Lagos roads, cut logistics costs by an estimated ₦30–40 per litre, improve safety, and reduce environmental impact. Bringing a single vessel currently costs around $500,000—expenses that ultimately flow into final prices.
These advocacy positions reflect a broader industry conversation about moving from pure import dependence toward more integrated, efficient domestic systems while preparing for future requirements such as Sustainable Aviation Fuel (SAF) alignment with ICAO standards.
Looking Ahead: Institution-Building and Continental Ambition
At the anniversary, Ogungbangbe emphasised that the milestone belonged to pioneering employees, successive management teams (including Managing Director Titilayo Olaore), customers, and partners. Guests included representatives of the Minister of Aviation and Aerospace Development Festus Keyamo, airline executives from Ibom Air and United Nigeria Airlines, and traditional rulers with ties to Ogungbangbe’s Osun State roots.
The chairman has spoken of transforming CITA from a successful company into a lasting institution and of expanding further internationally. The firm already maintains a presence in the United Kingdom and has flagged ambitions in East and Southern Africa as well as North America.
In a sector where jet fuel can represent up to 40 percent of an airline’s operating costs, reliable indigenous suppliers matter for national aviation competitiveness. CITA’s trajectory—from car-boot paperwork to multi-airport infrastructure, ISO-certified operations, and policy advocacy—illustrates both the opportunities created by gradual market liberalisation and the persistent operational and regulatory hurdles that remain.
The living-room start was never the point. The point was demonstrating that Nigerian capital, technical competence, and resilience could secure a permanent place in one of the most demanding segments of the energy and aviation industries.
Twenty years on, with facilities approaching a $200 million valuation and a footprint across Nigeria and beyond, that demonstration is no longer theoretical.
The next chapter will test whether the company can institutionalise its gains and help shape a more efficient, competitive aviation fuel ecosystem for the country.
Samuel O. Sulaimon is the founder and Editor-in-Chief of Naijapiz. He covers News, Sports, Finance, Faiths, Education, Politics and Technology.
Post a Comment