By Ayomide Otitoju
The Dangote Petroleum Refinery has announced a reduction in its ex-depot price for Premium Motor Spirit (PMS), commonly known as petrol, from ₦950 per litre to ₦890.
The price cut, which took effect on Saturday, February 1, 2025, was attributed to recent declines in global crude oil prices, according to a statement by Dangote Group’s Chief Branding and Communications Officer, Anthony Chiejina.
“This strategic adjustment is a direct response to the positive outlook in the global energy and gas markets, as well as the recent reduction in international crude oil prices,” Chiejina stated.
He noted that the refinery had previously implemented a modest price increase due to rising crude oil costs but remains committed to market-driven pricing transparency.
Impact on Economy and Cost of Living
The company expects the price reduction to lower the cost of petrol nationwide, leading to a decrease in transportation costs, prices of goods and services, and overall living expenses.
“This reduction from ₦950 to ₦890 per litre will have a positive ripple effect on various sectors of the economy,” Chiejina added.
He urged petroleum marketers to ensure that the benefits of the price cut are passed on to consumers to support Nigeria’s broader economic recovery.
Dangote Refinery and Nigeria’s Oil Industry
The 650,000-barrel-per-day Dangote Refinery, which began producing diesel and aviation fuel in January 2024, was officially inaugurated in 2023 after multiple delays.
Since taking office in May 2023, President Bola Tinubu has introduced economic reforms, including the removal of fuel subsidies and the floating of the naira. While aimed at attracting foreign investment and driving long-term growth, these measures have led to a tripling of fuel prices, a surge in inflation to 34% in mid-2024, and a sharp devaluation of the naira, intensifying economic pressures.
The latest price cut by Dangote Refinery is seen as a potential relief for Nigerians grappling with high living costs.
