The Dangote Petroleum Refinery & Petrochemicals has reduced its gantry price for Premium Motor Spirit (petrol) to N1,200 per litre, while fixing its coastal price at N1,153 per litre, a move expected to influence fuel pricing across Nigeria’s downstream sector.
The adjustment was confirmed by the Group’s spokesperson, Anthony Chiejina, who said the review reflects changes in the refinery’s pricing framework amid ongoing volatility in the global oil market.
According to him, tensions in the Middle East continue to impact crude oil prices globally, prompting the refinery to revise its rates downward to align with prevailing market conditions. He noted that the new pricing structure is expected to affect supply costs across distribution channels, including depots and retail outlets.
With the revised gantry price of N1,200 per litre, fuel marketers are likely to adjust their cost calculations, particularly those sourcing products locally rather than relying on imports. The coastal price of N1,153 per litre is also expected to support marine deliveries to depots in Nigeria’s southern regions, offering distributors an alternative supply route.
The price cut comes after a period of consistent increases in petrol prices, which followed geopolitical tensions linked to the US-Iran tensions 2026 that escalated in late February. Petrol prices had climbed from about N840 per litre before the crisis to around N1,300 in recent days. The latest reduction from N1,275 to N1,200 may lead to a slight drop in pump prices, potentially easing pressure on consumers.
However, the refinery continues to face operational challenges tied to crude oil supply. Its supply arrangement with the Nigerian National Petroleum Company Limited has reportedly encountered setbacks, with a significant shortfall in crude deliveries.
Findings indicate that between October 2025 and mid-March 2026, the refinery recorded a deficit of about 79.53 million barrels of crude. The facility requires roughly 19.77 million barrels monthly to operate at full capacity but has received considerably less within the period.
Available data shows the refinery got 4.55 million barrels in October, 6.45 million in November, 4.30 million in December, 5.65 million in January, and 4.66 million in February. In March, only 3.6 million barrels were supplied between the 1st and 15th.
A senior official at the refinery argued that the situation contradicts provisions of the Petroleum Industry Act, which prioritises domestic crude supply before exports. Despite this, the country has continued crude exports while the $20 billion Lekki-based refinery struggles with insufficient feedstock.
Also speaking on the issue, the refinery’s Managing Director, David Bird, disclosed that the plant currently receives only five cargoes of crude, far below the 13 cargoes agreed under the naira-for-crude deal.
The combined impact of pricing adjustments and supply constraints continues to shape Nigeria’s fuel market, with stakeholders closely watching how these dynamics will affect pump prices and overall energy costs in the coming weeks.
