The management of Dangote Petroleum Refinery has clarified that the recent adjustment in its ex-depot price of Premium Motor Spirit (PMS), also known as petrol, is a direct result of the significant increase in global crude oil prices.
In a statement, the company explained that the 5% adjustment from N899.50 to N950 per litre is considerably lower than the 15% rise in global crude oil prices.
The company noted that the increase in global crude oil prices has seen Brent Crude rise from $70 to $82 in a matter of days, in addition to the premium for Nigerian crude (approximately $3 per barrel) in international markets.
Dangote Refinery has maintained the Single-Point Mooring (SPM) ex-vessel price at N895 per litre.
The company’s partners, including Ardova, Heyden, and MRS Holdings, will offer petrol to Nigerians at a retail price of N970 per litre nationwide.
The company has absorbed the increased logistics costs to guarantee uniform pricing across the 36 states of the federation and the Federal Capital Territory (FCT).
Dangote Refinery has absorbed approximately 50% of the cost increases in the international oil market, demonstrating its commitment to quality and affordability.
If Dangote Refinery were to pass on the entire increase in the price of crude oil to the market, the retail price of PMS would be approximately N1,150 to N1,200 per litre in some locations, compared to the current price of N970 per litre.
The company has reassured Nigerians of its commitment to providing reliable, top-quality petrol at competitive prices. In the interest of transparency and good governance, Dangote Refinery will commence publishing its ex-depot price, ex-vessel price, as well as pump price on a weekly basis.
The company expressed its gratitude to President Bola Ahmed Tinubu for the introduction of the Naira for Crude Initiative, which has enabled consistent access to high-quality PMS for all Nigerians, while also insulating Nigerian consumers from the volatility of the global oil market.
