Dangote Petroleum Refinery firmly denies allegations of arbitrarily increasing petrol pump prices. The company attributes the recent ex-depot price adjustment for Premium Motor Spirit (PMS) to fluctuations in global crude oil prices.
Impact of Crude Oil Prices on Dangote Refinery’s Ex-Depot Rates
In a statement issued on Sunday by Anthony Chiejina, Group Chief Branding and Communication Officer, Dangote Refinery explained the correlation between crude oil costs and PMS pricing. The press release, titled “Increase in Pump Price Not From Us,” emphasized that crude oil remains the primary input for PMS production. As global crude oil prices rise, so does the cost of producing the finished product.
Dangote Refinery’s Efforts to Minimize Consumer Impact
Despite a 15% surge in global crude oil prices, Dangote Refinery increased its ex-depot price by only 5%, from ₦899.50 to ₦950 per litre. Brent Crude prices rose sharply from $70 to $82, along with a $3 premium for Nigerian crude. Still, the company maintained its Single-Point Mooring (SPM) ex-vessel price at ₦895 per litre.
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Dangote Refinery Absorbs Costs to Shield Consumers
To cushion the impact of global oil market volatility, Dangote Refinery disclosed it has absorbed 50% of the cost increases. Without these measures, PMS retail prices could have risen to ₦1,150 or ₦1,200 per litre in some locations. Instead, Dangote Refinery partners—including Ardova, Heyden, and MRS Holdings—will retail PMS uniformly at ₦970 per litre across Nigeria.
Commitment to Transparency and Governance at Dangote Refinery
Dangote Refinery announced plans to publish ex-depot, ex-vessel, and pump prices weekly to promote price transparency. This initiative ensures consumers have access to accurate pricing information and prevents exploitation.
Dangote Refinery Commends Government’s Naira for Crude Initiative
The company expressed gratitude to President Bola Tinubu for the “visionary” Naira for Crude Initiative. Dangote Refinery highlighted its role in ensuring consistent access to high-quality PMS while mitigating global oil price volatility.
Dangote Refinery’s Vision for Economic Self-Sufficiency
The refinery reaffirmed its commitment to delivering affordability and quality despite challenging market conditions. It acknowledged Nigerians’ continued trust and support as it strives to contribute to a resilient, self-sufficient economy.
