Dangote Petroleum Refinery has raised the ex-depot price of petrol to N1,175 per litre and diesel to N1,620 per litre, marking the fourth upward adjustment in less than two weeks as global crude prices surge and supply conditions tighten in Nigeria’s downstream fuel market.
Industry sources said the new pricing template was communicated to fuel marketers on March 9, following a series of earlier revisions announced since March 2.
The latest adjustment represents a sharp increase from the refinery’s previous gantry prices of N995 per litre for Premium Motor Spirit, commonly known as petrol, and N1,430 per litre for Automotive Gas Oil, or diesel.
The price revision highlights mounting pressure in Nigeria’s downstream petroleum sector, where domestic fuel pricing has become increasingly sensitive to movements in international oil markets and supply chain constraints.
The adjustment also follows a temporary suspension of petrol loading operations at the refinery earlier in the month. The restriction of truck-out activities had triggered speculation among marketers and depot operators that a price increase was imminent.
Market participants said the refinery’s pricing decisions typically influence depot rates across major fuel distribution hubs, making the Dangote facility a key reference point for petroleum product pricing in Nigeria.
With the revised template, marketers are expected to adjust pump prices and depot rates in response to the higher supply cost from the refinery.
The increase comes as international oil benchmarks rally sharply. As of about 1:00 p.m. West Africa Time on March 9, Brent crude was trading around $102.8 per barrel, up about 10.9 percent, while West Texas Intermediate crude was priced near $101.0 per barrel, representing a gain of roughly 11.1 percent.
Higher crude prices typically translate into rising refining and product costs, which can feed through to domestic fuel markets.
Analysts say the frequency of the recent adjustments reflects the refinery’s attempt to align local product prices with global energy market dynamics. Nigeria’s downstream market has undergone significant changes since the removal of fuel subsidies and the gradual shift toward market-based pricing.
The Dangote refinery, located in Lagos, is the largest refining facility in Africa and is expected to play a central role in reshaping the country’s fuel supply structure by reducing dependence on imports of refined petroleum products.
Because of its scale and supply capacity, changes in its pricing structure often have a broader impact on fuel distribution economics across the country.
Industry analysts warned that the latest increase could trigger a ripple effect across the downstream sector as depot owners and fuel marketers recalibrate their supply costs. Higher wholesale prices may also translate into increased retail pump prices if marketers pass on the additional costs to consumers.
The development underscores the volatility facing Nigeria’s fuel market, where global oil price movements, refining costs and logistics constraints continue to influence the price of petroleum products.
For consumers and businesses already grappling with high energy costs, the latest increase could add further pressure to transport, manufacturing and logistics expenses in the coming weeks.