Dangote Petroleum Refinery is set to incur a loss of approximately ₦16 billion due to a recent reduction in petrol prices. The refinery had previously lowered its ex-depot price of Premium Motor Spirit (PMS), commonly known as petrol, from ₦890 to ₦825 per litre, effective February 27, 2025.
This reduction led to a refund of ₦65 per litre on over 200,000 metric tonnes of petrol purchased by marketers at the old price, resulting in the substantial financial loss.
The price cut, implemented ahead of the Ramadan season, was aimed at providing relief to consumers facing high fuel costs. However, this move has significantly impacted the refinery's revenue, highlighting the financial risks associated with sudden price adjustments in the petroleum sector.