Nigeria’s Dangote Petroleum Refinery has reduced the ex depot price of petrol and introduced a 10-day credit facility for fuel marketers, a move expected to ease cash flow pressures in the downstream sector and improve fuel distribution nationwide, according to Business Insider Africa.
The refinery said the price adjustment reflects improved operational efficiency and a more stable supply outlook, following sustained production runs at the Lagos based plant. The credit arrangement allows approved marketers to lift petrol and make payment within 10 days, a development industry players say could lower financing costs and stabilise pump prices. The decision was confirmed by officials of Dangote Group in statements reported by Reuters.
Market analysts say the pricing cut and credit offer are aimed at strengthening the refinery’s market share as Nigeria transitions away from fuel imports. Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority shows that locally refined petrol now accounts for a growing share of domestic supply, reducing exposure to foreign exchange volatility and import logistics.
The Independent Petroleum Marketers Association of Nigeria welcomed the move, noting that access to short term credit could help smaller marketers sustain operations amid tight liquidity conditions. According to association officials, the pricing adjustment may also support more predictable fuel availability across the country.
Government officials have repeatedly said domestic refining is central to Nigeria’s energy security strategy. The Ministry of Petroleum Resources has stated that sustained output from large scale plants such as Dangote Refinery could help moderate fuel prices over time, strengthen supply chains and support broader economic stability, as highlighted in recent policy briefings.
