The Dangote Refinery has annulled the 75‑naira increase it announced on Wednesday for its ex‑depot premium motor spirit (PMS) price, keeping the pump price at 1,275 naira per litre instead of the previously stated 1,350 naira.
The decision follows the refinery’s third price adjustment within a seven‑day period. On Wednesday, Dangote announced a rise of 75 naira per litre, citing higher crude oil costs and market pressures. Within hours, the company reversed the hike, citing a reassessment of input costs and a desire to stabilise retail prices.
The abrupt change comes as global oil markets remain volatile due to heightened geopolitical tensions in the Middle East. The ongoing conflict between the United States‑Israel alliance and Iran has contributed to a squeeze on crude supplies and a rise in international benchmark prices. Analysts note that the ripple effect of such disruptions often reaches downstream markets, influencing the cost of refined products in regional economies.
Nigeria’s fuel market has been under close observation since the opening of the Dangote Refinery, the continent’s largest single‑facility refinery, which began commercial operations in early 2024. The refinery is expected to supply a substantial share of the nation’s gasoline, diesel and jet fuel, reducing reliance on imported refined products. Consequently, any price movement at the refinery carries weight for both consumers and policymakers.
Industry observers suggest that the price reversal may reflect the refinery’s assessment that the anticipated cost pass‑through from higher crude prices was overstated, or that competitive dynamics with other local distributors prompted a corrective move. The refinery’s pricing policy remains a key factor in Nigeria’s broader effort to achieve fuel price stability and curb inflationary pressures.
Consumers in Lagos, Abuja and other major cities will see the current pump price of 1,275 naira per litre remain unchanged for the immediate future. Retail stations have been instructed to continue selling at the existing rate until further notice.
The episode underscores the sensitivity of Nigeria’s fuel market to international developments and highlights the role of the Dangote Refinery in shaping domestic pricing. Market participants will be monitoring forthcoming crude price trends and any additional statements from the refinery for possible future adjustments.
