ABUJA, July 14 – Dangote Petroleum Refinery has begun selling petrol, diesel and aviation fuel in U.S. dollars, ending the naira pricing system it adopted under Nigeria’s naira-for-crude arrangement.
Under the new pricing schedule, which took effect on Monday, petrol is priced at $0.779 per litre at the gantry, diesel at $1.087 per litre and aviation fuel at $0.942 per litre. Coastal deliveries of petrol have been fixed at $1,044.62 per metric tonne.
The refinery informed marketers and customers that all previously issued naira-denominated proforma invoices and deal recaps for gantry and coastal transactions are no longer valid. However, it said the new arrangement does not apply to Liquefied Petroleum Gas (LPG).
The move signals a major change in the refinery’s commercial operations and comes after it transitioned to dollar-based transactions. According to sources familiar with the development, the refinery decided to adopt a single pricing system because a growing share of its crude oil is now supplied in dollars, while many of its refined products had continued to be sold in naira.
The sources said the difference between the currencies used for crude purchases and product sales had increased the refinery’s exposure to foreign exchange risks, especially amid fluctuating crude oil prices and exchange rate uncertainty.
Dangote Refinery introduced naira transactions after the Federal Government launched the naira-for-crude initiative on October 1, 2024. The policy was designed to support local refining, reduce pressure on foreign exchange demand and help stabilise fuel prices. However, industry stakeholders have reported that more crude supplies have gradually returned to dollar-based transactions.
The refinery’s new dollar benchmark will now serve as the reference price for marketers buying products directly from the facility, while retail pump prices will continue to depend on exchange rates, logistics costs and other operating expenses.
