Dangote Refinery Offers N10 Rebate, Lowers Effective Petrol Price to N825

Tuesday May 13, 2025 |

The Dangote Petrochemicals Refinery has quietly introduced a N10 rebate on Premium Motor Spirit (PMS), effectively reducing the price for marketers to N825 per litre, First News can confirm.

Though the official ex-gantry price remains N835 per litre, sources said on Monday that marketers receive a N10 rebate after loading and evacuating the product from the refinery—bringing the real purchase cost down to N825.

While not formally declared as a price slash, the rebate serves as a strategic price adjustment, enabling Dangote’s customers to sell petrol at a slightly lower range of N830–N835 per litre. This move undercuts prices from import-dependent marketers and private depots, giving Dangote a competitive edge in the local downstream market.

This development follows recent price revisions by the refinery in April, when it slashed its petrol price by N45 within a week—from N880 to N835 per litre—amid pressure to stabilize fuel supply and align with local refining policies.

The latest rebate also coincides with the resumption of the Naira-for-Crude agreement between the Federal Government and local refiners, aimed at reducing foreign exchange burdens and encouraging domestic fuel production.

Industry stakeholders say the rebate, though subtle, is already reshaping market dynamics and forcing other suppliers to reconsider their pricing.