Sunday, September 28, 2025 - The Dangote Petroleum Refinery has suspended the sale of petrol in naira, a decision that has unsettled fuel marketers and raised fresh fears of upward pressure on pump prices as well as volatility in Nigeria’s foreign exchange market.
In a notice sent to customers at 6:42 pm on Friday,
September 26, the refinery announced that the suspension will take effect from
Sunday, September 28, 2025. The communication explained that the decision was
driven by the exhaustion of its crude-for-naira allocation, a mechanism that
had previously allowed the refinery to sell refined products in the local
currency.
The email, signed by the Group Commercial Operations of
Dangote Petroleum Refinery & Petrochemicals and titled “Suspension of DPRP
PMS Naira Sales – Effective 28th September 2025,” instructed customers
with pending naira-based transactions to request refunds.
“We write to inform you that Dangote Petroleum Refinery
& Petrochemicals has been selling petroleum products in excess of our
naira-crude allocations and, consequently, we are unable to sustain PMS sales
in naira going forward,” the statement read.
It added: “Kindly note that this suspension of naira sales
for PMS will be effective from Sunday, 28th of September, 2025. We will provide
further updates regarding the resumption of supply once the situation has been
resolved. All customers with PMS transactions in naira who would like a refund
of their current payments should formally request the processing of their
refund.”
The decision is not unprecedented. Earlier in March 2025,
the refinery briefly halted sales in the local currency, citing the same
challenge of inadequate crude-for-naira allocations. That suspension sparked a
wave of concern over the potential dollarisation of fuel sales in Africa’s
largest economy and contributed to petrol prices climbing to nearly ₦1,000 per
litre in many parts of the country.
Friday’s announcement has again ignited fears that fuel
costs could rise further if marketers are forced to rely solely on dollar
transactions to secure supplies. Analysts also warn that the move could put
additional strain on Nigeria’s already pressured foreign exchange reserves,
with demand for dollars likely to increase among importers and distributors.
The refinery, commissioned as a flagship project of Africa’s
richest man, Aliko Dangote, had been touted as a game-changer for Nigeria’s
energy sector, promising to stabilise fuel supply, reduce dependence on
imports, and ultimately ease forex pressures. However, recurrent disruptions
linked to allocation formulas and pricing mechanisms have raised questions
about its role in the domestic fuel market.
As of Saturday, it remained unclear how long the suspension
would last or what alternative arrangements the refinery and the federal
government might put in place to restore stability. For now, marketers and
consumers alike are bracing for another period of uncertainty at the pumps.
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