cuts petrol price to N820
The Dangote Petroleum Refinery plans to stop importing crude oil by December 2025 and rely solely on Nigerian crude, according to a report by Bloomberg.
Vice President of Dangote Industries, Devakumar Edwin, who oversees the Lagos-based 650,000 barrel-per-day facility, confirmed that existing supply contracts with foreign producers are due to expire and that the refinery expects to source all of its feedstock locally by the end of the year.
“We expect some of the long-term contracts will expire. Personally, and as a company, we expect that before the end of the year, we can transition 100 per cent to local crude,” Edwin said.
In June, data showed that the refinery sourced 53 per cent of its crude from domestic producers and 47 per cent from the United States. The plant is currently processing 550,000 barrels of crude per day.
Earlier this year, Aliko Dangote revealed that the refinery had been sourcing oil from countries including Brazil, Angola, Ghana, and Equatorial Guinea due to shortfalls in domestic supply. He cited crude theft, pipeline attacks, and resistance from local oil producers to comply with the Domestic Crude Supply Obligations (DCSO) policy as contributing factors.
According to Edwin, recent improvements in cooperation between the refinery, local traders, and the Nigerian government are expected to ensure a more consistent supply of local crude.
Meanwhile, the refinery has also announced a further reduction in the ex-depot price of Premium Motor Spirit (PMS), or petrol. The price has been cut from N840 to N820 per litre, following a previous reduction from N880.
A statement issued Tuesday by Dangote Group spokesperson Anthony Chiejina said the new price takes immediate effect and reflects recent adjustments in global crude oil prices. Chiejina noted that the earlier hike had been due to market volatility during a 12-day geopolitical crisis in the Middle East.
The group confirmed that major marketers, including MRS, Heyden, Ardova (AP), and Techno Oil, will implement the new price at their outlets. In addition, more independent marketers have joined the distribution network, including TotalEnergies, Garima Petroleum, and Jezco Oil.
Chiejina said the refinery is expanding its domestic distribution of petrol and other refined products, with the aim of providing a steady supply and competitive pricing across Nigeria.
