By Ashley Perry
Business News Editor
Nigeria’s fuel market has been hit with another price adjustment as the Dangote Petroleum Refinery increased the ex-depot price of Premium Motor Spirit (PMS) to ₦995 per litre, a significant jump that occurred within just a few days.
A senior source at the refinery confirmed the development on Friday, explaining that the latest review was prompted by shifts in the global oil market, including rising crude prices and increased shipping costs.
According to the official, the refinery’s new gantry price replaces the ₦874 per litre rate that had only recently been introduced earlier this week. That earlier adjustment had itself followed another increase from ₦774 per litre, meaning petrol prices from the facility have surged by ₦221 within four days, representing an increase of roughly 29 percent.
Industry checks also showed that the updated price has already been reflected on the petroleum pricing platform petroleumprice.ng, indicating that marketers are expected to adjust their calculations accordingly.
Possible Impact on Pump Prices
The development could soon translate into higher pump prices across the country. Market analysts say retail petrol prices may climb above ₦1,050 per litre in many parts of Nigeria once transportation expenses and marketers’ margins are factored in.
The price change followed a brief suspension of petrol loading at the refinery early Friday morning. Truck-out activities reportedly stopped around 2:00 a.m., leaving depot operators and fuel marketers anticipating a possible revision in the refinery’s pricing structure.
Industry observers noted that similar pauses in loading operations at the facility have previously preceded price adjustments.
Refinery Explains Price Strategy
In recent communications, the Dangote Petroleum Refinery maintained that its pricing decisions are driven by global market realities rather than arbitrary changes. The company said petrol prices must reflect fluctuations in crude oil costs, freight charges, foreign exchange rates, and operational expenses.
The refinery added that the current pricing model aligns with Nigeria’s deregulated downstream petroleum sector, where domestic pump prices are increasingly influenced by international market trends.
Global Tensions Driving Costs
The refinery also linked rising prices to tensions in the Middle East, particularly the ongoing US–Iran conflict, which has pushed global crude oil and shipping costs higher.
According to the company, benchmark Brent crude prices have risen sharply, climbing by about 26 percent to more than $84 per barrel within a short period. Despite the surge, the refinery said it has absorbed about 20 percent of the increased costs in an effort to reduce the pressure on Nigerian consumers.
Imported Fuel Still Cheaper
Meanwhile, recent figures released by the Major Energies Marketers Association of Nigeria indicate that imported petrol currently costs less than locally refined fuel from the Dangote facility.
The association’s data showed that while Dangote’s petrol was previously priced at ₦874 per litre, the landing cost of imported petrol stood at about ₦809.37 per litre, leaving a difference of roughly ₦64.
Similarly, Dangote’s diesel price was listed at ₦1,169.42 per litre, compared with ₦1,125.70 per litre for imported diesel.
Despite the price gap, the refinery insists that expanding domestic refining capacity will help shield Nigeria from global supply disruptions while strengthening energy security in the long term.
