…Lower Prices, Reduced Minimum Purchase Volume Drive Surge in Demand
DANGOTE Refinery has emerged as the hub of fuel distribution in Nigeria, following bold strategic adjustments aimed at making energy more affordable and accessible. The refinery recently announced a significant reduction in the pump price of Premium Motor Spirit (PMS) to ₦699 per litre, alongside a drastic cut in the minimum purchase requirement from 2 million litres to 250,000 litres. These measures underscore Dangote Refinery’s commitment to stabilising supply, fostering inclusivity, and supporting national economic growth.
To further reassure marketers, the refinery has introduced a 10-day bank guarantee system, ensuring uninterrupted supply and strengthening confidence in its operations.
Since the announcement, the response from fuel marketers has been overwhelming. The refinery now records over 1,000 trucks loading PMS daily from its gantry, a clear testament to market trust in Dangote Refinery’s efficiency and leadership in the downstream sector.
President of Dangote Group, Aliko Dangote said: “Our goal has always been to make energy affordable and accessible for every Nigerian. By reducing prices and lowering the minimum purchase volume, we are empowering both large and small marketers to participate in the market, ensuring fuel reaches every corner of the country.”
The inclusive approach opens the market to smaller operators, strengthening distribution networks and improving fuel availability across the country. By lowering barriers to entry, Dangote Refinery is driving competition and ensuring Nigerians benefit from a more stable and affordable fuel supply chain.
Speaking to the press last week, Aliko Dangote reaffirmed his commitment to ensuring Nigerians enjoy the benefits of domestic refining. He emphasised that the company is working tirelessly to ensure recent reductions at the gantry are reflected at retail outlets. Dangote noted that the refinery project is driven by legacy rather than profit, revealing that he could have invested $20 billion elsewhere if financial gain were his sole objective.
It would be recalled that the Independent Petroleum Marketers Association of Nigeria (IPMAN) on Thursday called on all its members nationwide to patronise the Dangote Refinery in their purchase of PMS products, noting that the refinery already offers the best affordable price for all marketers, even as free delivery commences in January 2026.
The association also expressed delight over a recent agreement by the Dangote Petroleum Refinery to begin the supply of Premium Motor Spirit (PMS) – also known as petroleum – products directly to registered IPMAN members, in a statement signed and issued by the IPMAN National President Alhaji Abubakar Maigandi Shettima.
According to Shettima, “the association has the highest percentage of the supply chain of the PMS downstream sector, controlling over 80 per cent of the PMS retail market. We therefore declare that there will be no gap or scarcity in PMS supply to Nigerians,” the statement reads.
