LIVE UPDATES
In response to public concern over the recent adjustment in the price of Premium Motor Spirit (PMS), the Dangote Group has stated that the increase in petrol prices was not done to limit motorists purchasing power for the products but a response from its refinery to global price adjustment.
The firm noted that as a stakeholder in the industry, the surge in crude oil prices were beyond its reach, saying market dynamics determine prices the refinery will sell its refined products.
In a press statement issued by Anthony Chiejina, the Group Chief Branding and Communications Officer, Dangote Group emphasized that price adjustment of PMS from N899.50 to N950 per litre reflects the effects of the rising costs of crude oil in international markets.
As gathered, Brent crude prices have reportedly climbed from $70 to $82 per barrel within days, alongside the premium for Nigerian crude, which now costs an additional $3 per barrel.
“We wish to clarify that the recent adjustment in our ex-depot price of PMS is directly related to the significant increase in global crude oil prices. As crude remains the primary input in PMS production, any fluctuation in its price impacts the cost of the finished product,” it added.
The Dangote Refinery, which has maintained a Single-Point Mooring (SPM) price of N895 per litre, reassured Nigerians that its refinery has absorbed nearly half of the cost increases in crude oil to minimize the impact on consumers.
According to the firm, Without this intervention, the retail price of petrol could have escalated to N1,150-N1,200 per litre.
In collaboration with its partners, including Ardova, Heyden, and MRS Holdings, the company announced that petrol would now retail at N970 per litre nationwide, with logistics costs factored into ensuring uniform pricing across all 36 states and the Federal Capital Territory (FCT).
The Dangote Group reiterated its commitment to providing Nigerians with affordable, high-quality fuel, despite challenging market conditions.
“We are striving to shield consumers from the full impact of global price volatility while maintaining our pledge to affordability and quality,” Dangote added..
The company,. meanwhile, expressed gratitude to President Bola Tinubu for introducing the Naira for Crude Initiative, which has enhanced accessibility to PMS and insulated Nigerians from the volatile global oil market.
The Dangote Group reaffirmed its dedication to transparency and good governance, pledging to publish its ex-depot prices and ex-vessel rates regularly to ensure consumers are not exploited.
