Dangote Petroleum Refinery has announced a reduction in the ex-depot price of Premium Motor Spirit (PMS), lowering the cost by N25 per litre with immediate effect.

The new gantry price now stands at N774 per litre, down from the previous rate of N799. The adjustment was communicated to fuel marketers in a notice issued by the refinery’s Group Commercial Operations Department.
According to the refinery, the price change follows the conclusion of its PMS lifting incentive programme and is expected to improve the competitiveness of petrol produced locally.

Industry watchers say the latest price cut reflects ongoing adjustments in fuel pricing, which are largely influenced by movements in the exchange rate and global crude oil prices. Over the past year, ex-depot petrol prices have fluctuated between about N700 and above N800 per litre, with direct effects on pump prices nationwide.

The 650,000 barrels-per-day Dangote refinery, the largest in Africa, began supplying petrol to the domestic market in 2024. Earlier that year, the facility also commenced the production of diesel and aviation fuel.

Nigeria has historically relied on fuel imports, exchanging large volumes of crude oil for refined petrol, a system that was supported by fuel subsidies for many years. This arrangement placed significant pressure on the country’s foreign exchange reserves amid declining oil revenues.

Since assuming office in May 2023, President Bola Tinubu has removed fuel subsidies and allowed the naira to float, reforms aimed at attracting investment and stabilising the economy. However, these changes led to a sharp rise in fuel prices and contributed to soaring inflation, which reached a three-decade high in mid-2024.