Dangote Refinery has resumed selling petrol in Naira, fixing its gantry price at N1,215 per litre after briefly adopting a dollar-based pricing system.
The refinery’s return to naira sales comes just days after its decision to price Premium Motor Spirit (PMS) in US dollars sparked concerns across Nigeria’s downstream petroleum sector.
A senior refinery official, who spoke anonymously, said the move was aimed at preventing fuel scarcity after discovering that some fuel importers were withholding products in anticipation of higher prices.
The source stressed that the decision was not because the refinery’s crude oil supply issues had been resolved, adding that discussions with the Federal Government are still ongoing.
According to the official, the refinery acted in the national interest after noticing importers stockpiling fuel instead of releasing it to the market.
A notice from Dangote Refinery’s commercial department confirmed the new pricing, setting the petrol gantry price at N1,215 per litre and the coastal price at N1,602,495 per metric tonne.
The refinery’s temporary dollar pricing had forced many independent marketers to suspend loading because of difficulties sourcing foreign exchange.
Dangote had earlier explained that it switched to dollar pricing due to inadequate crude supplies under the Federal Government’s naira-for-crude arrangement, forcing it to buy additional crude from international markets.
The official also criticised the continued export of crude oil while refined petroleum products are imported at higher costs, describing the situation as counterproductive.
Before Dangote Refinery began operations in 2024, Nigeria depended heavily on imported petrol because the Port Harcourt, Warri and Kaduna refineries were largely inactive.
Since the refinery commenced production, fuel supply has improved, subsidy payments by the Nigerian National Petroleum Company Limited (NNPC) have ended, and the long fuel queues that once plagued the country have largely disappeared.
Some depot owners had increased petrol prices to N1,275 per litre after Dangote temporarily suspended loading. However, many have now reduced prices to remain competitive following the refinery’s latest pricing.
Industry data shows depot prices now range between N1,215 and N1,220 per litre, while retail pump prices across Nigeria vary between N1,260 and N1,300 per litre, depending on location.
Meanwhile, rising tensions in the Middle East have pushed global crude oil prices higher, raising concerns about possible increases in fuel costs despite the refinery’s latest price adjustment.
Analysts say although higher crude prices could boost Nigeria’s export earnings, they may also increase the cost of refined products and add further pressure on inflation if crude supply challenges persist.
