Nigerians are bracing for a potential surge in fuel prices after the Dangote Petroleum Refinery announced that it will halt petrol sales in naira. The decision, effective from 28 September 2025, follows the refinery’s declaration that its crude‑for‑naira allocation has been exhausted. In a notice to customers, the refinery explained that it has been selling petroleum products beyond its allocated naira‑crude limits, making it unsustainable to continue offering Premium Motor Spirit (PMS) in naira. The notice, signed by the Group Commercial Operations of Dangote Petroleum Refinery & Petrochemicals, states that the suspension of naira sales for PMS will begin on the specified date and that the refinery will provide updates on the resumption of supply once the situation is resolved.
In the interim, customers with existing PMS transactions in naira may request a refund by formalising their refund processing. This development has significant implications for the Nigerian fuel market, which is already experiencing volatility. As a major player in Nigeria’s petroleum industry, Dangote’s decision to halt naira sales for PMS is likely to have far‑reaching consequences. The refinery’s crude‑for‑naira allocation is a critical component of its operations, and its exhaustion has forced the company to reevaluate its sales strategy.
The Nigerian government continues to grapple with the challenges of fuel‑subsidy removal and currency fluctuations, and Dangote’s move may exacerbate existing pressures on the fuel market. A potential surge in fuel prices could ripple through the broader economy, affecting businesses and individuals alike. The situation underscores the complexities of Nigeria’s petroleum industry, where refineries face significant challenges in maintaining a stable fuel supply due to factors such as crude allocation, currency fluctuations, and regulatory frameworks. As events unfold, stakeholders will be closely monitoring the developments and their implications for the Nigerian economy.
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