Dangote Refinery Slashes Petrol Price, Begins Direct Supply To Stations 15 September

THE Dangote Petroleum Refinery has announced a significant step in reshaping Nigeria’s fuel supply chain, revealing a new pricing structure for Premium Motor Spirit (PMS) and plans to commence direct distribution of petrol to filling stations nationwide from Monday 15 September 2025.

In a statement released Thursday, the refinery confirmed that the gantry price has been fixed at ₦820 per litre, marking a substantial cut intended to lower pump prices across the country. The refinery emphasized that this move is part of a broader strategy to ease the financial strain on consumers, stabilize petrol pricing, and stimulate economic activity.

New Pricing Schedule

Under the new pricing plan, petrol will retail at different rates across key states:

• Lagos and South-West states – ₦841 per litre

• Abuja, Rivers, Delta, Edo, and Kwara states – ₦851 per litre

The refinery clarified that these differences reflect logistics costs, though the use of Compressed Natural Gas (CNG)-powered trucks for distribution is expected to mitigate rising expenses over time.

Phased Nationwide Rollout

The first phase of the distribution strategy will prioritize the Federal Capital Territory (FCT), Lagos, Kwara, Delta, Edo, Rivers, and South-West states, with further expansion planned as more CNG-powered trucks join the fleet. This phased approach, the company explained, is designed to ensure efficiency and reliability as the refinery transitions into full-scale operations.

Economic Impact

Dangote Refinery projects that the adoption of CNG-powered distribution could save the Nigerian economy over ₦1.8 trillion annually by significantly cutting transportation costs. These savings are expected to translate into lower pump prices, reduced inflationary pressures, and broader macroeconomic stability.

The company stressed that the initiative will deliver direct benefits to the 42 million micro, small, and medium enterprises (MSMEs) that depend heavily on affordable energy to power their operations. By reducing overhead costs, particularly in fuel consumption, these businesses are expected to see improved profit margins and enhanced sustainability.

Supporting Nigeria’s Energy Transition

Beyond lowering petrol prices, the refinery noted that the transition to CNG-powered trucks also aligns with Nigeria’s long-term energy diversification goals. By reducing dependence on diesel trucks for distribution, the initiative aims to cut carbon emissions, improve efficiency, and reduce Nigeria’s exposure to global oil price shocks.

Industry observers say the development could mark a turning point for Nigeria’s downstream sector, which has long been plagued by high costs, inefficiencies, and fuel scarcity. With the Dangote Refinery stepping directly into retail supply, consumers may experience greater transparency, improved availability, and more competitive pricing.

The company assured that as more trucks are delivered and distribution networks widen, the new pricing structure will expand nationwide, giving millions of Nigerians access to cheaper fuel in the coming months.