The Dangote Petroleum Refinery has increased its Premium Motor Spirit (PMS) gantry price by N100, raising the ex-depot rate to N874 per litre from the previous N774 per litre.
The adjustment, confirmed on Monday by a senior refinery official, has sparked fresh concerns over a nationwide fuel price hike and its potential impact on transportation and consumer goods.
Why Dangote Refinery Increased Petrol Price
According to refinery officials, the price review was triggered by volatility in the global crude oil market, with international crude prices rising above $80 per barrel.
The official stated that the upward adjustment reflects:
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Changes in global crude oil fundamentals
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Higher replacement costs
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Market risk premiums
Industry checks indicate that the new pricing structure has already been implemented, signaling a likely increase in pump prices across Nigeria.
Petrol Loading Suspended Amid Crude Oil Surge
The price hike followed the refinery’s temporary suspension of petrol loading operations, effective midnight on March 2, 2026.
Industry sources revealed that:
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PMS loading and issuance of proforma invoices were halted
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The suspension affected petrol only
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Automotive Gas Oil (diesel) loading continued uninterrupted
The pause came as international crude oil prices rallied sharply, prompting operators to avoid selling below replacement cost.
Ripple Effect Across Nigeria’s Downstream Sector
The refinery’s decision triggered immediate reactions within Nigeria’s downstream petroleum market.
Several private depot owners reportedly suspended PMS sales during the trading session, citing uncertainty and replacement cost concerns.
A downstream operator noted that the market is already factoring in risk premiums due to the crude oil rally.
Impact on Petrol Prices in Nigeria
As Africa’s largest refinery, the Dangote facility plays a critical role in Nigeria’s fuel supply chain. Any adjustment to its ex-depot pricing often influences retail pump prices nationwide.
If sustained, the new N874 per litre gantry price could:
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Push petrol pump prices higher
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Increase transportation costs
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Raise logistics expenses
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Add inflationary pressure to goods and services
Consumers and marketers are closely monitoring developments as global oil market trends continue to shape domestic pricing.
Broader Energy Market Context
Nigeria’s downstream sector remains sensitive to global crude fluctuations, especially in a deregulated fuel pricing environment.
With crude oil trading above $80 per barrel, analysts say further adjustments may depend on:
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Global oil supply dynamics
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Geopolitical tensions
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Exchange rate movements
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Domestic distribution costs
Outlook
The N100 increase marks one of the latest significant adjustments in Nigeria’s evolving fuel pricing landscape.
Market watchers expect retail prices to adjust in the coming days as marketers respond to the new ex-depot benchmark.
