The Dangote Petroleum Refinery has announced that it will begin the direct distribution of Premium Motor Spirit (PMS) to 11 Nigerian states effective Monday, September 15, 2025. The move is expected to enhance efficiency in the downstream supply chain, reduce logistics and transportation bottlenecks, and improve market stability across the designated regions.
By supplying states directly, the refinery seeks to minimize reliance on intermediaries, ensuring timely delivery and potentially more competitive pricing at the retail end. Industry experts note that this initiative is likely to ease fuel scarcity, shorten waiting times at filling stations, and support price moderation through reduced distribution costs.
Under the new pricing scheme, the gantry price has been set at ₦820 per litre. Retail pump prices will be ₦841 per litre in Lagos, Ogun, Oyo, Ondo, Osun, and Ekiti; while Abuja, Delta, Rivers, Edo, and Kwara will see pricing at ₦851 per litre.
To support station owners, Dangote will provide free delivery of PMS to registered petrol stations in the pilot states, with encouragement for station owners nationwide to register for the benefits. The rollout to 11 states will serve as a pilot phase ahead of nationwide expansion, underscoring the refinery’s growing role in Nigeria’s energy security and economic transformation.
Additionally, Dangote is deploying compressed natural gas (CNG)-powered trucks to handle distribution, a move expected to both drive down transportation costs significantly and deliver annual savings to the Nigerian economy in the trillions of naira.
If successful, the direct supply model is anticipated to extend across all states in the near future, reinforcing the refinery’s strategic importance to the country’s downstream petroleum sector.
