NIGERIANS and petroleum marketers are bracing for another round of fuel price increases following a fresh hike in the price of Premium Motor Spirit (PMS) by the Dangote Petroleum Refinery, which cited escalating global geopolitical tensions as the reason for the adjustment.
In a notice issued to marketers on Friday night obtained by News Point Nigeria, the refinery announced that its ex-depot (gantry) price for petrol has been increased from N1,175 per litre to N1,245 per litre, representing a N70 rise.
According to the document, the revised pricing structure will take effect from midnight on March 21, 2026.
The refinery also disclosed that its coastal price has been adjusted upward, rising from N1,512,648 per metric tonne to N1,606,518 per metric tonne.
“Please be informed that due to the current global geo-political situation which has further escalated, the PMS gantry and coastal price has been reviewed and updated,” the notice stated.
It added that the new rates will apply to all pending and future transactions, including previously unloaded volumes at both gantry and coastal points.
The refinery clarified that marketers with existing supply agreements backed by bank guarantees would still be allowed to lift products under previously approved terms, provided they meet certain conditions.
“For customers with a valid Bank Guarantee… loading will continue with existing approvals, provided the credit balance covers the price change differential,” the company noted.
However, it emphasised that any cost difference arising from the price adjustment would be recovered from marketers.
“The corresponding debit note will be passed in your trading account… Payment evidence for the price change differential will be required by Monday, March 23, 2026,” the notice added.
Industry analysts expect the increase to trigger a corresponding rise in pump prices across the country, as marketers are likely to pass the additional cost on to consumers.
The development could further strain household budgets and increase transportation and logistics costs, with potential knock-on effects on food prices and inflation.
The refinery attributed the price hike to rising global uncertainties, particularly tensions in key oil-producing regions, including the Middle East, which have pushed up crude oil prices and freight costs.
Despite the operationalisation of the Dangote refinery—widely expected to stabilise domestic fuel supply—the latest development highlights Nigeria’s continued exposure to international market forces.
The latest adjustment underscores the challenge of achieving price stability in Nigeria’s downstream petroleum sector, even with increased domestic production.
Consumers, however, may have to prepare for higher fuel costs as the ripple effects of the increase begin to manifest nationwide.