The Dangote Petroleum Refinery has announced a reduction in the ex-depot price of Premium Motor Spirit (PMS), popularly known as petrol, to N820 per litre.
This represents a N30 or 3.53% reduction from its previous price of N850/litre.
The new pricing structure takes effect from Tuesday, August 12, 2025.
This is according to a post shared on X (formerly Twitter) by the Dangote Group on Tuesday.
It applies to all major fuel marketers in partnership with the refinery, including MRS, Ardova, Heyden, Optima Energy, Techno Oil, and Hyde Energy.
The ex-depot price is the rate at which depot owners sell petroleum products to fuel marketers and retail outlets.
Backstory
The Nigerian National Petroleum Company Limited (NNPCL) has raised its petrol pump price to N895 per litre on Friday, August 8, 2025.
The new price reflected a N20 increase when compared to the earlier announced price of N875 per litre.
On Thursday, August 7, on resuming sales to marketers, Dangote Petroleum Refinery raised its ex-depot price for petrol to N852 per litre from the previous price of N820 per litre.
The refinery also earlier announced the arrival of 4,000 brand-new Compressed Natural Gas (CNG) powered trucks in Lagos, marking a major milestone in its nationwide fuel distribution initiative scheduled to begin on August 15.
Industry stakeholders, including the Presidency, the Independent Petroleum Marketers Association of Nigeria (IPMAN), and energy analysts, had previously praised the initiative as a significant step toward curbing high distribution costs, stabilising fuel prices, and modernising Nigeria’s downstream petroleum sector.
Why this matters
The Dangote Refinery, with a capacity of 650,000 barrels per day, is Africa’s largest and most critical infrastructure investment in Nigeria’s oil sector. By refining domestically and progressively replacing imports, the facility has the ability to stabilize fuel supply, relieve forex pressure, and slash fuel costs for Nigerian consumers over time.
- With global oil prices remaining volatile and the naira still struggling to regain ground, the refinery’s pricing decisions could help cushion Nigerians from the full impact of external shocks, provided the supply chain passes on the cost benefits.
- In its Premium Motor Spirit (Petrol) Price Watch for June 2025, the National Bureau of Statistics (NBS) said several states recorded pump prices well above the national average, reflecting ongoing disparities in fuel distribution and transportation costs.
- The data shows that the average retail price of petrol rose to N1,037.66 in June 2025, compared to N750.17 recorded in June 2024.
Given the country’s reliance on petrol-powered generators and vehicles for both businesses and households due to inconsistent electricity supply, states with higher fuel prices tend to experience elevated operational costs.
