Petrol: Dangote says MRS, 2 others to sell N970/litre

Petrol: Dangote says MRS, 2 others to sell N970/litre

Dangote Refinery has attributed its recent increase in the ex-depot price of Premium Motor Spirit (PMS), commonly known as petrol, to the rise in global crude oil prices.

In a statement issued on Sunday, Mr. Anthony Echiejina, Head of Corporate Communications at Dangote Industries, clarified that the price adjustment was a direct result of fluctuations in global oil markets.

On January 17, Dangote Refinery raised the price of petrol also known as fuel from N899 to N955 per litre.

Echiejina explained that as crude oil remains the main raw material for petrol production, any shift in international crude prices directly impacts the cost of the finished product.

“Any change in international crude prices inevitably affects the cost of the finished product,” Echiejina stated.

He further explained that the five percent increase in the ex-depot price, which moved from N899.50 to N950 per litre, was still much lower than the 15 percent increase in global crude oil prices, with Brent Crude rising from $70 to $82 per barrel.

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Echiejina pointed out that Dangote Refinery had absorbed approximately 50 percent of the cost increase driven by rising crude prices, and had kept the Single-Point Mooring (SPM) ex-vessel price at N895 per litre.

“As a result, all Dangote Refinery partners, including Ardova, Heyden, and MRS Holdings, will offer petrol at a retail price of N970 per litre across the nation,” Echiejina added.

Despite the global price surge, Dangote Refinery said it has sought to limit the impact on Nigerian consumers by absorbing the increased logistics costs, striving for consistent pricing across the country.

“If we were to pass on the full increase in crude oil prices, the retail price of PMS could have risen to as much as N1,150 to N1,200 per litre in some areas, compared to the current N970 per litre,” he said.

The refinery has reaffirmed its commitment to providing high-quality petrol at competitive prices, even amidst the volatile global oil market.

Echiejina highlighted that Dangote Refinery’s priority remains shielding Nigerian consumers from the full effects of market shifts, while continuing to contribute to the nation’s economic growth and self-sufficiency.

In a bid to maintain transparency, he revealed that the company will publish its ex-depot price, ex-vessel price, and pump price on a weekly basis to ensure consumers are informed and protected from price exploitation.

He also expressed appreciation for President Bola Tinubu’s Naira for Crude Initiative, which has facilitated steady access to quality petrol and alleviated some of the pressures from global market shifts.

 

Petrol: Dangote says MRS, 2 others to sell N970/litre