Dangote refinery hikes petrol price to N1,275 amid supply disruption

Dangote Refinery has increased its ex-depot price of Premium Motor Spirit by N75 per litre, raising it from N1,200 to N1,275, amid growing concerns over another wave of fuel price hikes across Nigeria.

Data from Petroleumprice.ng and confirmation from a refinery official on Wednesday showed that coastal supply prices also rose to N1,215 per litre.

The adjustment comes alongside a temporary suspension of product sales following a disruption in the refinery’s Proforma Invoice process, a key system used for scheduling fuel supply.

A source at the refinery confirmed the development, stating that the new petrol price of N1,275 per litre is effective, with coastal prices set slightly lower.

Another insider revealed that the refinery halted its Proforma Invoice entry process around 4:00 pm on Tuesday, leading to an immediate disruption in supply operations.

The suspension reportedly affected the sale of both petrol and Automotive Gas Oil, creating uncertainty in the downstream petroleum market.

Industry operators say the twin impact of price increase and supply disruption could trigger higher depot costs and eventually push up pump prices nationwide, as marketers adjust to rising expenses.

They added that such supply interruptions often increase logistics and distribution costs, further intensifying pricing pressures across the value chain.

The development comes amid a surge in global crude oil prices, which has raised the cost of feedstock for refiners.

As of Wednesday morning, Brent crude was trading at $114.80 per barrel, while West Texas Intermediate stood at $103.40, both reflecting notable increases driven by heightened geopolitical tensions around the Strait of Hormuz, a key global oil transit route.

The spike in crude prices has increased replacement costs for refined products, prompting upward adjustments in petrol pricing.