The Dangote Petroleum Refinery is set to begin direct distribution of Premium Motor Spirit (PMS) to filling stations across Nigeria, starting Monday, September 15, 2025. In a move expected to significantly impact fuel prices and ease inflationary pressures, the company has also announced a notable reduction in PMS pricing.
According to a statement issued by the refinery on Thursday, the depot (gantry) price has been slashed to ₦820 per litre, which will translate into lower pump prices across several major regions.
In the South-West, including Lagos, motorists can expect to buy petrol at ₦841 per litre, while Abuja, Rivers, Delta, Edo, and Kwara will see pump prices hover around ₦851 per litre.
This rollout marks the first phase of a nationwide fuel distribution strategy, which will cover key regions initially before expanding countrywide as more logistics assets, including CNG-powered trucks, are deployed.
“The first phase of the deployment will cover the Federal Capital Territory, Lagos, Kwara, Delta, Edo, Rivers, and South-West states,” the company said, adding that full national coverage will follow as additional trucks arrive.
To cut distribution costs and reduce reliance on diesel, the Dangote Group is leveraging Compressed Natural Gas (CNG)-powered vehicles, a move projected to save the Nigerian economy over ₦1.8 trillion annually.
The initiative is also expected to deliver relief to the over 42 million micro, small, and medium enterprises (MSMEs) across the country, many of whom face high energy costs that eat into profit margins.
In addition to stabilizing prices and reviving supply chains, the refinery’s direct-to-station model is designed to revitalize thousands of inactive filling stations nationwide. The company has committed over ₦720 billion to the program and is inviting stakeholders to join in.
“We are encouraging partnerships from filling station owners, telecommunications companies, and large-scale fuel consumers to ensure the success of this nationwide initiative,” the statement added.
The project is also set to create new jobs particularly for truck drivers, station managers, and fuel attendants offering a welcome boost to employment in the downstream oil sector.
As part of the new model, filling station operators across the country are being asked to register for free delivery services and additional benefits, which the company says will support more efficient fuel access and help stabilize the downstream supply chain.
Meanwhile, the Nigerian Union of Petroleum and Natural Gas Workers (NUPENG) has issued a warning, threatening to resume strike action over alleged breaches of agreement by the Dangote Refinery. Tensions between the union and the company are reportedly being monitored closely.
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