The Dangote Petroleum Refinery has attributed its recent decision to resume petrol sales in naira to the actions of fuel importers, who were allegedly withholding supplies in anticipation of higher prices.
A senior management official, who requested anonymity, clarified that the reversal was not due to the resolution of crude oil supply challenges but was taken to safeguard national interest. “We decided to sell Premium Motor Spirit in naira because importers were holding back their products, waiting for a price increase,” the source explained.
The refinery’s commercial department announced on Wednesday that petrol would now be sold at a gantry price of ₦1,215 per litre and a coastal price of ₦1,602,495 per metric tonne. This marked a shift from the brief dollar-denominated pricing regime, which had sparked concern across the downstream sector and prompted intervention by the Federal Government.
Independent marketers had earlier suspended loading from the refinery, citing difficulties in sourcing foreign exchange for dollar-based transactions. The refinery defended its initial move, noting that inadequate crude supply under the government’s naira-for-crude initiative had forced it to procure additional crude from the international market in dollars.
The official disclosed that discussions with the Federal Government were ongoing, expressing optimism about a fair resolution. He also lamented that some government stakeholders continued to prioritise crude exports over domestic refining, saying, “They prefer to sell crude abroad and import petroleum products back into the country.”
Nigeria’s reliance on imported petrol had persisted for years due to the non-functional state-owned refineries in Port Harcourt, Warri, and Kaduna. The commissioning of the Dangote refinery in 2024 was seen as a turning point, helping decentralise the downstream sector and ending implicit fuel subsidies that had long burdened the economy.
Last week, some depot owners raised gantry prices to as high as ₦1,275 per litre after the refinery temporarily halted loading. Prices have since stabilised, with depots adjusting to remain competitive. According to Petroleumprice.ng, depot prices ranged between ₦1,215 and ₦1,220 per litre on Sunday, while pump prices hovered between ₦1,260 and ₦1,300 per litre depending on location.
The recent increase in petrol prices has also been linked to global oil market volatility. Crude prices briefly surpassed $100 per barrel last Thursday—the highest in nearly two months—before closing at $96 per barrel on Friday, following renewed tensions in the Middle East and disruptions to shipping routes in the Red Sea. Analysts warn that while higher crude prices may boost Nigeria’s export earnings, they could also raise the cost of imported refined products, intensify inflationary pressures, and strain consumers if domestic supply remains inadequate.
