Why We Increased Petrol Price, By Dangote
. Says Ardova, Heyden, MRS To Sell At N970
By Frederick Wright
Dangote Refinery has reacted to the recent spike in the pump price of Premium Motor Spirit (PMS), popularly known as petrol across the country.
The company, in a statement made available to Slye News said the refinery is not directly responsible for the recent hike, attributing it to high crude oil prices at the international market.
It noted that any fluctuation in the international crude oil price inevitably impacts the cost of the finished product.
The company stated that it recognises the importance of affordable fuel for Nigerians, expressing commitment to continue offering the best value with guaranteed quality for its customers.
“While we have made a 5% adjustment to our ex-depot price from N899.50 to N950 per litre, it is important to note that this increase is considerably lower than the 15% rise in global crude oil prices, which has seen Brent Crude rise from $70 to $82 in a matter of days, in addition to the premium for Nigerian crude (approximately $3 per barrel) in international markets. Furthermore, Dangote Refinery has maintained the Single-Point Mooring (SPM) ex-vessel price at N895 per litre.
“All our partners, including Ardova, Heyden, and MRS Holdings, will offer petrol to Nigerians at a retail price of N970 per litre nationwide. We have absorbed the increased logistics costs to guarantee uniform pricing across the 36 states of the federation and the Federal Capital Territory (FCT).
“Dangote Refinery has absorbed approximately 50% of the cost increases in the international oil market. This is due to our unwavering commitment to quality and affordability, as well as the ownership of the refinery by Nigerians, which remains central to our mission. If Dangote Refinery were to pass on the entire increase in the price of crude oil to the market, the retail price of PMS would be approximately N1,150 to N1,200 per litre in some locations, compared to the current price of N970 per litre.
“We are committed to providing reliable, top-quality petrol to the Nigerian people at competitive prices. In these challenging times, we continue to prioritise the best interests of Nigerians, striving to shield consumers from the full impact of global price volatility while adapting to evolving market conditions.
“We sincerely appreciate the continued trust and support of Nigerians as we strive to deliver the best value for their money and contribute to the development of a self-sufficient economy that is resilient to international price fluctuations,” it stated.
Continuing, the company noted its readiness to commence publishing its ex-depot price, ex-vessel price as well as pump price on a weekly basis so that consumers are not exploited in the interest of transparency and good governance.
