Dangote Petroleum Refinery has resumed selling Premium Motor Spirit (PMS) in naira, Nigeria’s official currency, abandoning its short-lived decision to invoice the fuel in US dollars — a move that is expected to ease pressure on Nigeria’s fuel market and broader economy.
The reversal was announced after a week of uncertainty in the sector triggered by the temporary adoption of dollar-denominated billing, which forced several independent fuel traders to source supplies from private depots. Despite the return to local currency, the refinery raised its ex-depot price to 1,215 naira per litre, an increase of 140 naira — equivalent to 13.02% — from the previous price of 1,075 naira per litre.
In a statement issued on Wednesday, the company confirmed it had resumed naira-denominated petrol sales and, after communicating the new terms to customers, also resumed accepting orders for marine cargo loadings. The temporary suspension of local currency sales had caused significant disruption in the fuel distribution market, prompting several independent operators to procure products from private depots as direct purchases from the refinery became untenable.
During the period in which it used the dollar as its reference currency, Dangote Petroleum Refinery priced Automotive Gas Oil (AGO) at $1.087 per litre, while Aviation Turbine Kerosene (ATK) was sold at $0.942 per litre. Marine fuel was quoted at $1,044.62 per metric tonne.
At the time, the refinery notified customers that all previously issued pro-forma invoices and business summaries denominated in naira — covering both land and marine cargo loadings — were no longer valid, and instructed that no payments be made on the basis of those documents.
With the resumption of naira-denominated sales, greater stability is expected to return to Nigeria’s fuel market, although the increase in the ex-depot petrol price continues to pose a challenge for consumers and distributors alike.
Source: Diário Económico
