The Dangote Petroleum Refinery & Petrochemicals has reduced its gantry price for Premium Motor Spirit (petrol) to N1,200 per litre, while fixing its coastal price at N1,153 per litre in a move expected to influence fuel supply costs across Nigeria’s downstream sector.
The adjustment was disclosed by the spokesperson of the Dangote Group, Anthony Chiejina, who said the new pricing template reflects a downward review amid heightened uncertainty in the global oil market.
According to Chiejina, geopolitical tensions in the Middle East have continued to influence crude oil prices globally, prompting the refinery to review its petrol pricing structure.
“Dangote Petroleum Refinery & Petrochemicals has reduced its gantry price for petrol to N1,200 per litre and its coastal price to N1,153 per litre, a move that comes amid ongoing tensions in the Middle East that continue to influence global oil markets,” he said.
He explained that the adjustment is expected to affect fuel supply costs across distribution channels, including depots and retail outlets.
Industry stakeholders say the new gantry price will likely lead marketers to recalibrate their landing costs, particularly those sourcing products locally rather than relying on imports.
Similarly, the coastal price of N1,153 per litre is expected to affect marine deliveries to coastal depots, providing an alternative supply route for distributors operating along southern corridors.
The refinery had increased petrol prices several times since the start of the US-Iran conflict on February 28, when global oil market uncertainty intensified. Pump prices rose from about N840 per litre before the crisis to an average of around N1,300 per litre as of Thursday.
The latest reduction from N1,275 per litre to N1,200 per litre is expected to bring marginal relief to consumers by pushing retail prices slightly below the N1,300 mark.
Despite the price adjustment, the ambitious supply arrangement between the refinery and the Nigerian National Petroleum Company Limited is reportedly facing challenges due to crude oil supply shortfalls.
Data obtained from a senior management source within the refinery indicated that the facility experienced a crude supply deficit of about 79.53 million barrels between October 2025 and mid-March 2026.
The refinery, which requires about 19.77 million barrels of crude oil monthly to operate at full capacity, received significantly lower volumes during the period.
According to the breakdown, the plant received 4.55 million barrels in October, 6.45 million barrels in November, 4.30 million barrels in December, 5.65 million barrels in January, and 4.66 million barrels in February. Between March 1 and March 15, only 3.6 million barrels were delivered.
Officials within the refinery argued that under the Petroleum Industry Act, crude oil exports should not take precedence over domestic supply obligations.
They stressed that the $20bn Lekki-based refinery has continued to face inadequate crude volumes despite Nigeria exporting significant quantities of crude through the national oil company.
Meanwhile, the Managing Director of the refinery, David Bird, recently disclosed that the facility has been receiving only five cargoes of crude instead of the 13 cargoes originally agreed under the naira-for-crude supply arrangement.
Industry analysts say the supply gap could affect the refinery’s ability to sustain optimal production levels, potentially influencing fuel availability and pricing across Nigeria’s energy market.
Nevertheless, the latest price reduction is expected to provide some relief to fuel marketers and consumers while reinforcing the refinery’s role in shaping Nigeria’s domestic petroleum supply chain.
