Dangote refinery hikes petrol price to ₦1,350 per litre

Dangote Refinery has increased its ex-depot price of Premium Motor Spirit (petrol) to ₦1,350 per litre, marking another upward adjustment amid ongoing volatility in Nigeria’s downstream oil market.

The new price, confirmed on Wednesday by a senior refinery official and petroleum pricing platform Petroleumprice.ng, represents a ₦75 increase from the previous ₦1,275 per litre.

A senior official familiar with the development said the new pricing template has already been implemented across all loading channels.

“The new pricing template has been activated across the board… marketers are already responding by adjusting their depot prices,” the source said.

The increase comes barely one week after the refinery raised its price from ₦1,200 to ₦1,275 per litre, making it the second ₦75 hike within seven days.

Supply constraints and cost factors

Industry sources attributed the latest adjustment to tight supply conditions, rising crude oil costs, foreign exchange pressures, and logistics challenges.

“The suspension of pro forma invoices created a short-term supply squeeze… when combined with international crude price movements and logistics costs, price adjustments became inevitable,” the official added.

The refinery had earlier paused issuance of pro forma invoices, a move that market players say constrained product availability and triggered upward price movements.

Subsidy claims and pricing strategy

Despite the frequent hikes, a senior official within the Dangote Group recently disclosed that the refinery has been subsidising petrol and diesel supplied to the domestic market.

The refinery’s pricing strategy has seen multiple adjustments in recent weeks, reflecting shifting market dynamics as Nigeria transitions further into a deregulated fuel regime.

The latest hike is expected to push up pump prices nationwide, as fuel marketers pass on increased costs to consumers.

Within the past month, petrol prices have fluctuated in response to supply levels, competition, and global oil price movements.

Analysts say the continued price volatility highlights the challenges of balancing domestic refining with exposure to international market forces, even as Nigeria reduces dependence on fuel imports.