Refinery’s dominance continues to shape market prices as experts hail milestone for Nigeria’s energy independence
The Dangote Petroleum Refinery has resumed full-scale operations, sparking ripples across the downstream oil sector as it adjusted the ex-depot price of Premium Motor Spirit (PMS) — popularly known as petrol — from ₦820 to ₦877 per litre, marking a 7% increase.
According to Vanguard market intelligence reports, bulk buyers purchasing two million litres and above will continue to enjoy discounted rates, while depot operators will pay the newly adjusted price.
Despite the upward review, the Dangote Refinery’s petrol price remains the cheapest in the domestic market compared to private depot operators who currently sell between ₦890 and ₦900 per litre.
Fresh data from Petroleumprice.ng on Thursday revealed that major players such as Pinnacle and Rainoil have pegged their prices at ₦890 and ₦885 per litre, respectively, while Optima and Matrix now sell at ₦880 and ₦890 per litre.
The Chief Executive Officer of Petroleumprice.ng, Olatide Jeremiah, noted that the Dangote Refinery’s unmatched production capacity continues to dictate market dynamics.
> “The downstream sector is witnessing an intense price adjustment phase. With its 650,000 barrels per day capacity, the Dangote Refinery sets the tone for the entire market. Others simply follow its lead,” Jeremiah said.
“We expect that as operations stabilize, depot prices will likely drop further — and we hope such reductions will trickle down to consumers at the pump.”
In his reaction, the President of the Oil and Gas Service Providers Association of Nigeria (OGSPAN), Mazi Obasi, commended the refinery’s management for sustaining production despite economic headwinds and internal sabotage attempts within the oil and gas value chain.
> “The resilience of Dangote Refinery’s management and staff deserves national applause. They’ve managed to push through operational and economic obstacles to keep Nigeria’s refining dream alive,” Obasi stated.
He emphasized that the refinery symbolizes a new era of energy independence, economic resilience, and national pride.
> “This project is a true game changer — not just for job creation but also for foreign exchange stability and energy security. It’s the cornerstone of Nigeria’s self-reliance in petroleum refining,” he added.
Industry analysts suggest that the latest development signals a steady march toward full deregulation of the oil sector, with Dangote Refinery emerging as a decisive force in shaping Nigeria’s fuel pricing structure and energy future.
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