By Charles Pemu 
The Dangote Petroleum Refinery is back in full operation, marking its resumption yesterday with a seven per cent hike in the gantry price of Premium Motor Spirit (PMS), commonly known as petrol. The price rose from N820 per litre to N877 per litre.
This adjusted price, while higher, is said to allegedly targeted at large-volume buyers, specifically oil marketers purchasing two million litres and above.
Crucially, the refinery’s N877/litre price point is still significantly lower than the wholesale prices currently being offered by many depot owners in the sector, which generally fall between N890 and N900 per litre.
| Depot Owner | Depot Price (per litre) |
| Pinnacle | N890 |
| Rainoil | N885 |
| Optima | N880 |
| Matrix | N890 |
Data sourced from industry monitors reveals the discrepancy in the wholesale market: several major depot owners are listing their depot prices at between N880 and N890 per litre.
The Chief Executive Officer of a prominent price monitoring platform noted that the sheer scale of the 650,000 barrels per day refinery means it is inevitably setting the market pace. “The downstream sector continues to witness the price war. With its huge size and capacity, the refinery continues to determine the pace. Depot owners and others have to follow,” the CEO stated, adding the expectation that broader depot prices will reduce in the coming weeks.
However, the benefit of these lower wholesale prices has yet to reach the average consumer. Checks across retail outlets yesterday showed that many filling stations are still selling the product to motorists at rates in excess of N900 per litre.
The successful commencement of full operations by the Dangote Refinery was widely celebrated by industry stakeholders. Mazi Obasi, President of the Oil and Gas Service Providers Association of Nigeria (OGSPAN), issued a strong commendation for the management and staff.
Obasi praised their “resilience in overcoming various economic and operational challenges posed by saboteurs within the oil and gas value chain.”
He stressed that the establishment and success of the refinery represent a significant milestone in Nigeria’s pursuit of energy independence and economic stability. OGSPAN affirmed its commitment to partnering with the refinery in educating Nigerians on the immense benefits local refining brings, including job creation and foreign exchange stability.