Dangote Absorbs ₦16bn Loss In PMS, Offers ₦65/Litre Refund To Marketers
Dangote Refinery to Absorb ₦16bn Loss, Refund ₦65/Litre to Marketers to Ensure Cheaper Fuel for Nigerians
Dangote Petroleum Refinery & Petrochemicals has announced that it will absorb a ₦16 billion loss by refunding ₦65 per litre to marketers, ensuring that Nigerians benefit from cheaper fuel.
In a statement released over the weekend, the refinery explained that it will refund customers who purchase Premium Motor Spirit (PMS) at rates higher than the advertised prices from any of its key partners – Ardova Plc (AP), Heyden, or MRS – across Nigeria.
This initiative follows the refinery’s recent decision to reduce its gantry price from ₦890 per litre to ₦825 per litre. The refinery emphasized that the refund is part of its ongoing commitment to ensure that Nigerians are the primary beneficiaries of the price reduction, in line with President Bola Tinubu’s Renewed Hope Agenda, which aims to stimulate the economy.
The refinery confirmed it will refund ₦65 per litre on over 200,000 metric tonnes of PMS purchased by marketers at the previous gantry price of ₦890 per litre, prior to the new rate of ₦825 per litre.
“The step, effective February 27, 2025, guarantees that none of our valued business partners will experience a loss due to the price change. More importantly, it ensures that the new, lower rate takes immediate effect nationwide for the benefit of the Nigerian people,” the statement said.
The refinery further emphasized that the initiative goes beyond MRS Holdings, Ardova Plc (AP), and Heyden. It encouraged other marketers sourcing fuel from Dangote Refinery to pass on the benefits of the new pricing to consumers at the retail level, fostering a collective effort to provide affordable, high-quality fuel.
Dangote Refinery also condemned any exploitation of the new pricing structure, stating, “It is both unpatriotic and detrimental to the welfare of Nigerians for any party to purchase at a rate of ₦825 per litre and then sell to consumers at ₦945 or more per litre. This constitutes excessive profiteering, further burdening Nigerians for personal gain.”
The statement added, “Dangote Refinery, in its effort to ensure good quality and affordable fuel for Nigerians, is working with its partners to make this price accessible. Consumers who purchase fuel above the advertised rate at any of our key partners – AP (Ardova Plc), Heyden, or MRS – anywhere in Nigeria are encouraged to report to Dangote Refinery with their receipts for a full refund of the excess amount.”
The approved rates per litre are as follows: MRS – ₦860 in Lagos, ₦870 in the South-West, ₦880 in the North, and ₦890 in the South-South and South-East; Heyden and AP – ₦865 in Lagos, ₦875 in the South-West, ₦885 in the North, and ₦895 in the South-South and South-East.
With the new gantry price set at ₦825 per litre, Dangote Refinery expects that no Nigerian will pay more than ₦900 per litre for PMS, regardless of location or petrol station. The refinery also reaffirmed its commitment to providing high-quality, eco-friendly fuel that supports vehicle performance and public health.
“Our commitment aligns with the objectives of President Bola Tinubu’s Renewed Hope Agenda, which champions self-sufficiency in critical sectors like energy. We remain dedicated to supporting Nigeria’s economic growth and ensuring every Nigerian has access to affordable, high-quality energy solutions,” the refinery stated.
Concluding, Dangote Refinery said, “This initiative is one of many ways Dangote Petroleum Refinery & Petrochemicals continues to contribute to a prosperous and sustainable future for our country. In this journey toward energy security, we stand united with the Nigerian people, always striving to provide lasting solutions and a more prosperous future for all.”