By Ayomide Otitoju
The management of Dangote Petroleum Refinery has announced a significant reduction in the prices of Premium Motor Spirit (PMS), also known as petrol, and Automotive Gas Oil (AGO), commonly referred to as diesel, in a move aimed at easing financial pressure on consumers and supporting economic stability in Nigeria.
Under the revised pricing structure, the gantry price of PMS has been reduced from ₦1,175 to ₦1,075 per litre, representing a ₦100 cut. The coastal price has also been lowered from ₦1,150 to ₦1,028 per litre, reflecting a ₦122 decrease.
Diesel prices were similarly adjusted downward from ₦1,620 to ₦1,430 per litre, marking a ₦190 reduction.
The refinery said the adjustment reflects its commitment to maintaining a pricing framework that responds to global market conditions while upholding fairness and transparency.
According to the company, the pricing decision aligns with the ongoing decline in global crude oil prices. It explained that all crude processed at the refinery is purchased at the global benchmark price with an additional premium of $3 to $6 per barrel, while foreign exchange payments are made at prevailing market rates without subsidies.
The refinery further clarified that crude supplied through the naira-for-crude arrangement is also priced in line with global benchmarks plus premium and converted into naira using the prevailing exchange rate.
The company noted that in 2025 alone, it had reduced its gantry prices at least eight times, while implementing only two price increases, a strategy it described as part of its commitment to economic patriotism and consumer protection.
“We remain committed to ensuring that any cost advantages are passed on to consumers across the 36 states and the Federal Capital Territory,” the refinery stated.
Meanwhile, Managing Director of the refinery, David Bird, recently assured Nigerians that the facility would continue to meet domestic fuel demand despite volatility in the global oil and gas market.
Bird said that while several fuel-import-dependent countries are experiencing panic buying and rationing due to global supply disruptions, Nigeria would be insulated from such shocks because of its growing domestic refining capacity.
He noted that geopolitical tensions in the Middle East have pushed crude oil prices sharply higher, with prices rising from the mid-$60 range to nearly $120 per barrel within a week, triggering higher freight and insurance costs across the global energy supply chain.
Although the refinery is not immune to fluctuations in crude prices and logistics costs, Bird said Nigeria now enjoys a strategic advantage through domestic refining.
“What would be worse than $120 oil is no oil,” he said, noting that several countries are already rationing fuel due to heavy reliance on imports.
He added that even some countries with strong refining capacity have begun restricting fuel exports in order to safeguard their domestic markets.
Bird reaffirmed that as long as the refinery continues to receive crude supply from the Federal Government and Nigerian National Petroleum Company Limited, it will remain committed to meeting Nigeria’s fuel needs.
“With continued government support and uninterrupted access to local crude supply, Dangote Refinery will consistently meet all of Nigeria’s refined fuel requirements,” he said.
