The Dangote Petroleum Refinery has reduced its ex-depot price of Liquefied Petroleum Gas (LPG), commonly known as cooking gas, from N1,100 to N950 per kilogramme. This N150 reduction, representing a 13.6% cut, could provide relief to households and businesses that rely on LPG for cooking and other activities.
New Price Details and Market Comparison
The new price puts pressure on gas marketers and distributors to review their retail prices, although the amount consumers ultimately pay will depend on transportation, storage, distribution, and other costs across the supply chain. Dangote's new price is lower than the ex-depot prices of other marketers, which sell at N975/kg for Ardova and Navgas, N980/kg for 11 PLC, Nipco, and PPMC, and N1,050/kg for Matrix in Warri.
Potential Impact on Consumers and Businesses
The reduction could lower the cost of cooking gas for Nigerian households if retailers pass the savings on to consumers. For families that purchase LPG regularly, even a partial reduction in the retail price could translate into lower monthly household energy expenses. Small businesses, restaurants, and food vendors that use significant quantities of cooking gas could also benefit from lower operating costs.
However, retail LPG prices vary across locations, meaning consumers may not immediately see the full N150 reduction at gas outlets. The speed and extent of price transmission will depend largely on the existing stock purchased by marketers at higher prices and on the cost of moving LPG from depots to retail outlets.
Dangote Refinery's Growing Role in LPG Supply
The Dangote Petroleum Refinery has become a major player in Nigeria's domestic petroleum products market, supplying products including petrol, diesel, aviation fuel, and LPG. The refinery's growing production capacity has supported efforts to increase domestic supply and reduce the country's dependence on imported refined petroleum products.
The reduction in the ex-depot price is expected to draw attention to gas retailers' prices across the country. Marketers that begin purchasing LPG at the lower wholesale rate could have greater room to reduce their selling prices, although existing inventories and distribution costs may affect the timing.
Recent Cooking Gas Price Trends
Earlier, Legit.ng reported that the NBS has reported that the average retail price for refilling a 5kg cylinder of LPG rose by 13.73% on a month-on-month basis, increasing from N7,655.73 in March 2026 to N8,706.93 in April 2026. On a year-on-year basis, the price increased by 10.42% from N7,885.60 recorded in April 2025. The report also showed that the average retail price for refilling a 12.5kg cylinder of LPG.
