The Dangote Refinery fuel price cut is bringing new hope to Nigeria’s fuel market. On Thursday, the refinery reduced its ex-depot price to N865 per litre, down from N880 the previous day.
This N15 drop comes after the return of the naira-for-crude policy. The policy allows local refineries to buy crude oil using naira instead of U.S. dollars. It aims to support domestic refining, conserve foreign reserves, and ease pressure on the fuel supply chain.
Filling stations like MRS Oil & Gas, Ardova Plc, and Heyden Petroleum are expected to lower pump prices. These companies have direct supply deals with Dangote. New retail prices may settle around N910 per litre, reflecting the reduced depot cost.
Earlier this year, the NNPC ended the naira-based crude sale agreement. The deal had run from October 2024 to March 2025. This forced local refineries to purchase crude in dollars, increasing their operating costs. It also led to higher fuel prices across the country.
Now, the policy has returned. The Dangote Refinery fuel price cut is seen as an early result of this shift. Industry experts believe this could lead to greater price stability in the coming months.
Although the long-term impact is still unclear, the current signs are positive. More favorable crude pricing may improve operations for local refineries. It could also help reduce Nigeria’s dependency on imported fuel.
With the naira-for-crude initiative back in place, stakeholders are hopeful. They expect smoother supply chains and more stable pump prices. Consumers may soon feel the relief.
