Dangote refinery sets petrol at $0.779 per litre, diesel $1.087, aviation fuel $0.942 as crude supply problems grow

Dangote Petroleum Refinery has started pricing petrol, diesel and aviation fuel in United States dollars for the Nigerian market after facing challenges in getting enough crude oil through the government’s naira for crude programme.

The refinery said rising global crude oil prices and limited local crude supply made it difficult to continue selling fuel in naira while buying crude in dollars.

The government introduced the naira for crude programme in October 2024 to allow local refineries to buy crude oil in naira and reduce pressure on Nigeria’s foreign exchange market. However, Dangote said the amount of crude supplied under the programme has not been enough to meet its production needs.

The refinery, which has a capacity of 700,000 barrels per day, needs between 13 and 15 cargoes of crude oil every month. In May, it received only seven cargoes, forcing it to import the remaining crude at international prices.

Under the new pricing structure, petrol is now priced at 0.779 dollars per litre, diesel at 1.087 dollars per litre and aviation fuel at 0.942 dollars per litre.

Industry experts say the move could increase demand for United States dollars among fuel marketers and make fuel prices more sensitive to changes in exchange rates.

Dangote Refinery remains one of Nigeria’s biggest fuel suppliers and has helped reduce the country’s dependence on imported petroleum products.