Dangote Petroleum Refinery has announced a significant increase in the price of Premium Motor Spirit (PMS), commonly known as petrol, due to rising global crude oil prices.
In a statement released on January 17, 2025, the refinery set the new bulk purchase price at N955 per litre for customers buying between 2 million and 4.99 million litres. For bulk purchases of 5 million litres or more, the price is slightly lower at N950 per litre.
This adjustment represents a 6.17% increase, equating to an additional N55.5 per litre compared to the previously discounted rate of N899.50 per litre that was offered during the holiday season in December 2024. The new pricing structure will take effect from 5:30 PM on the same day, impacting all unsold stock and pending orders.
The refinery attributed this price revision to escalating global oil prices, which have surged to $82 per barrel, marking a notable increase from $78 per barrel.
The Organisation of Petroleum Exporting Countries (OPEC) has indicated that market instability and uncertainties are likely to persist throughout 2025, further influencing these price dynamics.
In response to the announcement, many consumers rushed to filling stations in Lagos and surrounding areas, leading to some stations preemptively raising their prices.
The Minister of State for Petroleum Resources, Senator Heineken Lokpobiri, emphasized that fluctuations in petrol prices will continue to be closely tied to international crude oil prices, especially now that the downstream sector operates under a fully deregulated framework.
Lokpobiri noted that the government's previous involvement in setting fuel prices has ended, allowing market forces to dictate pricing. He expressed confidence that this deregulation would ultimately benefit consumers by ensuring quality control and availability of products.
