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Dangote Refinery has raised its petrol gantry price by ₦15 to ₦1,200 per litre, the second increase in less than a week.
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The latest hike comes despite a sharp decline in international crude prices, with Brent and WTI both falling on Tuesday.
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The increase could push petrol pump prices towards ₦1,250 per litre as marketers add transportation and other downstream costs.
August 26, (THEWILL) — Dangote Petroleum Refinery and Petrochemicals FZE has increased its Premium Motor Spirit (petrol) gantry price from ₦1,185 to ₦1,200 per litre, effective August 26, 2026.
The latest adjustment was contained in an official communication issued to customers on Tuesday by the refinery’s Group Commercial Operations.
The notice, titled “PMS Price Change Communication (₦1,185 Per Litre To ₦1,200 Per Litre)”, informed customers of revised prices for gantry and coastal deliveries.
The coastal price was also increased from ₦1,562,265 per metric tonne to ₦1,582,380 per metric tonne.
Second Price Increase In Five Days
The latest ₦15 increase comes barely five days after Dangote Refinery raised its petrol gantry price from ₦1,165 to ₦1,185 per litre.
That adjustment took effect from midnight on August 21, according to industry trackers.
The latest increase means the refinery has raised its gantry price by ₦35 per litre since August 21.
Dangote also instructed customers to return existing Authorisation to Collect documents for repricing, after which new volume contracts would be issued to enable loading to resume.
“You are advised to return all ATCs for repricing, and a new volume contract will be issued for immediate loading resumption”, the refinery said.
Crude Prices Fall As Petrol Price Rises
The latest petrol price increase comes despite a decline in international crude oil prices, which ordinarily represents an important component of the cost of producing refined petroleum products.
Data from Oilprice.com showed Brent crude at $88.37 per barrel on Tuesday, down $3.80 or 4.12 percent. West Texas Intermediate fell $2.88 or 3.39 percent to $82.13 per barrel, while Murban crude dropped $8.73 or 8.61 percent to $92.71 per barrel.
However, the relationship between crude prices and local petrol prices is not immediate or one-to-one.
Refinery pricing can also reflect crude acquisition costs, inventory purchased at earlier prices, exchange-rate movements, operating expenses, logistics, market conditions and other downstream costs.
This means a fall in international crude prices does not necessarily translate into an immediate reduction in the domestic refinery gate price.
Pump Prices Could Rise Further
The ₦15 increase at the refinery gate could put additional pressure on petrol prices as marketers factor in transportation, storage, depot and other distribution costs.
Industry expectations are that petrol could return to an average retail price of around ₦1,250 per litre, depending on location and distribution costs.
The latest adjustment also comes amid renewed volatility in the international oil market linked to tensions between the United States and Iran.
Reuters reported that oil prices fell after investors viewed the latest US sanctions against Iran as less threatening to global supplies than a potential military escalation.
However, the market remains vulnerable to a renewed price surge if tensions escalate.
The Strait of Hormuz remains a particular concern. Only two commodity vessels reportedly transited the waterway on Monday, the lowest daily tally since early May. The route previously handled about one-fifth of global oil consumption, making any prolonged disruption potentially significant for international crude prices.
Dangote Group had not responded to enquiries on the latest price increase as of the time of filing this report.
Ogochukwu Onwaeze is a writer specializing in business and economic journalism. At THEWILL News Media, she translates market trends, financial developments, and policy shifts into clear and engaging stories.
