Nigerians Brace for Petrol Price Surge as Dangote Refinery Hikes Ex-Depot Rate to N880/Litre
Lagos, Nigeria – June 21, 2025 – Nigerians may soon face another petrol price hike as the Dangote Petroleum Refinery has raised its ex-depot price for Premium Motor Spirit (PMS) to N880 per litre, up from N825. This N55 increase has sparked renewed concerns about fuel affordability and price instability in the downstream oil sector.
Data from petroleumprice.ng and a pro forma invoice obtained by The PUNCH confirm the price adjustment, which is expected to push pump prices above N900 per litre in various regions, particularly areas far from key distribution centers.
This price hike comes despite a decline in global crude oil prices. Brent crude slipped by 3.02% to $76.47 per barrel, while WTI and Murban grades dropped to $74.93 and $76.97, respectively. However, exchange rate volatility and rising operational costs at Dangote Refinery have offset the benefits of cheaper crude.
On Thursday, Aliko Dangote, President of the Dangote Group, disclosed that the refinery is importing more U.S. crude oil to mitigate local supply shortages. The refinery is projected to bring in 17.65 million barrels between April and July 2025, citing inadequate local allocations under the government’s naira-for-crude policy.
The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) President, Festus Osifo, criticised the development, arguing that pump prices should currently range between N700 and N750 per litre, reflecting the global decline in crude oil prices.
“If Nigerians absorb high prices during global hikes, they should also benefit from falling crude prices,” Osifo said.
Industry sources reveal that some depot owners and marketers had delayed implementing fresh pricing pending Dangote’s new pro forma invoices. With the new rate confirmed, market-wide petrol price adjustments are expected imminently, impacting retail stations nationwide.
The increase raises concerns about broader inflationary pressures and hardship for consumers already struggling with high living costs.