In another bold move to ease fuel prices and stabilize the local market, Dangote Petroleum Refinery has announced a fresh reduction in the ex-depot price of Premium Motor Spirit (PMS), popularly known as petrol, from N840 to N820 per litre.
The new price takes immediate effect, according to a statement released by the company on Tuesday via its official X (formerly Twitter) handle. This marks the second price cut in just over a week, following a reduction from N880 to N840 per litre on July 1. Altogether, petrol prices from the refinery have dropped by N60 in less than two weeks.
The ex-depot price is the rate at which petrol is sold to oil marketers at the refinery gate. It significantly impacts the pump price that consumers pay at retail stations nationwide.
Industry observers believe this new adjustment could push pump prices down to below N885 per litre, especially among major marketers with direct purchase agreements from the refinery such as MRS Oil & Gas, Ardova Plc, and Heyden Petroleum.
The price drop comes at a time when Nigerians are grappling with high transportation costs and inflationary pressure. Many see this reduction as a step toward relief for households and businesses struggling under the weight of rising energy costs.
In a related move, Dangote Refinery is gearing up for a nationwide distribution initiative designed to support cleaner and more efficient fuel logistics. Beginning August 15, 2025, the company will begin free distribution of petrol and diesel to select marketers, dealers, and large-scale users across Nigeria.
To power this rollout, the refinery has acquired 4,000 new Compressed Natural Gas (CNG)-powered tankers. This not only reinforces the refinery’s commitment to environmentally friendly logistics but also enhances its ability to ensure timely, widespread fuel distribution.
Situated in the Lekki Free Zone in Lagos, the $20 billion Dangote Refinery is the largest in Africa and one of the biggest globally. Its operations are expected to reduce Nigeria’s longstanding dependence on imported refined fuel, while also bringing more stability and predictability to the country’s downstream oil market.
The latest price reduction reflects a strategic approach by the refinery to stimulate competition, lower consumer prices, and strengthen supply security. For a country long burdened by fuel scarcity and volatile prices, Dangote’s latest moves may represent a pivotal shift in how fuel is sourced, priced, and delivered.
