The Dangote Refinery has increased the ex-depot price of Premium Motor Spirit, commonly known as petrol, to N1,350 per litre. This represents a N75 increase from the previous price of N1,275 per litre. The adjustment was confirmed on Wednesday, May 6, 2026, by a senior refinery official and data from Petroleumprice.ng.
Second Price Hike Within a Week
This marks the second price increase in just seven days, following a prior rise from N1,200 to N1,275 per litre. The refinery attributed the hike to ongoing supply constraints, rising operational costs, and global crude oil price pressures. Industry sources indicate that the temporary suspension of pro forma invoices earlier in the week reduced product availability, further exacerbating the situation.
Impact on Fuel Marketers and Consumers
According to insiders, the new price has already been applied across all loading points, prompting fuel marketers to revise their own prices accordingly. The increase is expected to lead to higher pump prices nationwide, as marketers pass on the added costs to consumers. For many Nigerians, this translates to higher transport fares and increased prices for goods and services, adding strain to already rising living expenses.
Market Realities and Cost Absorption
A senior executive within the Dangote Group stated that the refinery has been absorbing some costs by subsidizing petrol and diesel for the local market. However, frequent price changes highlight the sensitivity of Nigeria's fuel market to both local and international factors, even as domestic refining begins to reduce reliance on imports.
Broader Implications for the Economy
The latest hike is expected to push pump prices higher nationwide, compounding the cost of living crisis. Meanwhile, the Nigerian National Petroleum Company (NNPC) recently increased petrol prices to N1,320 per litre in Lagos and N1,364 per litre in Abuja due to rising supply costs. Other marketers, including MRS Oil Nigeria Plc and BOVAS Group, have also adjusted their prices to around N1,365–N1,370 per litre.
The price surge follows a rise in global crude oil prices above $115 per barrel, underscoring the interconnectedness of domestic fuel pricing and international markets.
