The Dangote Petroleum Refinery has reduced the ex‑depot price of petrol by N129 per litre, setting the new price at ₦699 per litre for bulk purchases. The adjustment took effect on 12 December 2025, and is the latest in a series of pricing reviews this year. The refinery also introduced a 10‑day credit facility for marketers to ease liquidity pressures in the distribution chain.
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Rationale and immediate impact
Officials said the price cut is intended to support fuel supply ahead of increased festive demand and provide marketers with temporary credit flexibility. Bulk buyers placing orders of at least 500,000 litres are eligible for the credit facility, which aims to maintain consistent supply across regional depots. Analysts noted that the change may reduce operating costs for transport operators and other petrol‑dependent businesses.
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Market dynamics and competition
Since beginning crude processing and fuel production, the Dangote Refinery has increasingly influenced Nigeria’s downstream petroleum market. The latest price move could intensify competition among suppliers, including the Nigerian National Petroleum Company Limited (NNPC Ltd). Independent marketers have reported margin pressures following repeated revisions, but industry participants say sustained refinery output could stabilise petrol availability.
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Broader implications
Market observers emphasised that retail prices at the pump will still reflect distribution costs, currency fluctuations, and foreign exchange dynamics beyond refinery control. Continued monitoring of supply chains and pricing will be important as the country enters the peak travel period.
