Petrol Jumps to N1,175/Litre as Dangote Refinery Raises Prices Again, Fresh Inflation Fears Loom

Petrol Jumps to N1,175/Litre as Dangote Refinery Raises Prices Again, Fresh Inflation Fears Loom

 

The cost of goods and services across Nigeria may rise further after the Dangote Petroleum Refinery increased the gantry price of Premium Motor Spirit (petrol) to N1,175 per litre, marking the third upward price adjustment within a week.

The refinery announced the new price to marketers on Monday, raising the gantry price from N995 per litre announced on Friday, representing an increase of N180, or about 18.1 per cent, within three days.

The price of Automotive Gas Oil (diesel) was also revised upward to N1,620 per litre, further raising concerns among businesses that depend heavily on diesel-powered operations.

The latest development came hours after The PUNCH reported that petrol prices could rise again following the refinery’s temporary suspension of petrol sales on Sunday, which had triggered concerns about supply disruptions and potential price adjustments.

A senior official of the refinery, who spoke on condition of anonymity because he was not authorised to speak publicly, confirmed the new pricing structure.

“Yes, the gantry prices have been adjusted. PMS is now N1,175 per litre while Automotive Gas Oil is N1,620 per litre,” the official said.

“The market has been extremely volatile, and replacement costs have shifted significantly in recent days. These adjustments reflect prevailing market fundamentals and the cost environment we are currently operating in.”

Checks on the industry pricing platform petroleumprice.ng showed that the revised rates had already been updated across depot pricing systems used by downstream operators, signalling a new benchmark price for fuel marketers.

The latest increase represents the third price surge within a week, after petrol prices earlier rose from N774 per litre to N995 per litre.

As a result, retail pump prices in several parts of the country have already crossed the N1,000 per litre mark, with some filling stations selling petrol for as high as N1,200 per litre.

Industry analysts warn that the increase could trigger another wave of price adjustments nationwide, as higher fuel costs typically drive up transportation, logistics, and production expenses, which are ultimately passed on to consumers.

The development also comes amid efforts by the Nigerian National Petroleum Company Limited to secure crude oil supplies for the Dangote refinery through third-party international traders in order to sustain domestic refining operations.

However, officials caution that such interventions may not immediately translate into lower pump prices, as the domestic fuel market continues to adjust to prevailing global crude oil costs and foreign exchange pressures.

For millions of Nigerians already grappling with rising living costs, the latest petrol hike is expected to intensify inflationary pressures and further strain household budgets.