The Dangote Petroleum Refinery has increased the price of Premium Motor Spirit (PMS), popularly known as petrol, to N955 per litre, citing the continuous surge in the global price of Brent crude oil. This adjustment, communicated to marketers via email on Friday, reflects the refinery’s new pricing structure, with marketers purchasing between 2 million and 4.99 million litres now paying N955 per litre, while those buying 5 million litres and above will pay N950 per litre. This marks a sharp N55.5 increase or a 6.17% jump from the previous N899.50 per litre offered as a holiday discount in December.
Global Crude Oil Prices Drive Petrol Cost
The refinery justified this price hike by pointing to the rising Brent crude oil price, which currently stands at $81.84 per barrel, the highest in 2025. Industry experts argue that Dangote Refinery’s growing influence on fuel prices is pushing private depots and independent marketers to adjust their pump prices to remain competitive. Olatide Jeremiah, CEO of Petroleum Price.ng, stated,
“Dangote Refinery’s influence on fuel price has become unmatched; private depots, major marketers, and independent marketers will compete with this new price. Therefore, Nigerians should expect an increase in petrol pump price.”
Immediate Impact on Marketers and Consumers
The refinery’s notice, titled “Communication on PMS Price Review”, confirmed that the new price regime takes effect from 5:30 PM today. All stock balances not yet lifted by this time will be repriced at the updated rates. This sudden adjustment is expected to ripple through the downstream petroleum sector, affecting private depots, major marketers, and retail markets nationwide. The new price forces marketers to either absorb the cost or pass it on to consumers, inevitably leading to higher petrol pump prices.
Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, recently reiterated that the downstream sector is fully deregulated, leaving fuel pricing entirely in the hands of market forces. With the government stepping back, Nigerians are left at the mercy of fluctuating global crude prices and market-driven decisions like this one from Dangote Refinery.
Bottom Line
This petrol price hike is just one of the many struggles Nigerians face in the wake of deregulation and global oil market volatility. As Dangote Refinery tightens its grip on fuel pricing, the rivalry between independent marketers and major depots intensifies. Unfortunately, this is likely just the beginning, as the battle between market forces and consumer welfare continues
