Dangote Refinery Hikes Fuel Price to N1,245 Per Litre, Citing Global Geopolitical Tensions

Dangote Petroleum Refinery has raised the ex-depot price of Premium Motor Spirit (petrol) from N1,175 to N1,245 per litre, effective midnight March 21, citing escalating global geopolitical tensions.

The coastal price also rose from N1,512,648 to N1,606,518 per metric tonne. The new pricing is expected to trigger retail pump price increases as marketers pass on the cost to consumers. The refinery maintained the adjustment reflects market realities driven by external factors beyond its control, despite expectations that the refinery would stabilise domestic supply.

Key Points:

The N70 per litre increase will likely raise pump prices across Nigeria, worsening cost-of-living pressures.
The hike underscores Nigeria’s continued vulnerability to global crude oil volatility despite local refining capacity.
Marketers with existing supply arrangements must cover the price difference by March 23.
The adjustment follows rising crude prices amid Middle East tensions affecting global energy markets.
Consumers face another inflationary blow as transportation and goods prices are expected to rise.

Nigerians should expect higher fuel prices at pumps in the coming days as marketers adjust, compounding existing economic hardship.

Sources: The Punch, Dangote Petroleum Refinery