The Dangote Refinery has announced the suspension of petrol sales in Naira, effective September 28, 2025, due to the exhaustion of its crude oil allocations priced in the local currency.
This decision aims to avoid a mismatch between the refinery’s sales proceeds and crude oil purchase obligations, currently denominated in US dollars.
According to the refinery’s statement, “We wish to inform you that Dangote Petroleum Refinery has temporarily halted the sale of petroleum products in Naira.” The suspension will take effect from Sunday, September 28, 2025, and customers with pending Naira-based transactions are advised to seek refunds.
The refinery’s management explained that its sales of petroleum products in Naira have exceeded the value of Naira-denominated crude it received. “To date, our sales of petroleum products in Naira have exceeded the value of Naira-denominated crude we have received. As a result, we must temporarily adjust our sales currency to align with our crude procurement currency,” the statement read.
This development has raised concerns about potential fuel price hikes and the impact on the downstream oil sector. Analysts warn that petrol prices could surge above ₦900 per liter if transactions are shifted predominantly to dollars. The refinery’s decision has also sparked anxiety among marketers and consumers, who are worried about the implications of this move on fuel prices and availability.
The Dangote Refinery had previously sold petrol in Naira to support local marketers and stabilize the domestic market. However, with the exhaustion of its Naira-priced allocations, the refinery has no choice but to transition to a different payment system. “We remain committed to serving the Nigerian market efficiently and sustainably. As soon as we receive an allocation of Naira-denominated crude cargoes from NNPC, we will promptly resume petroleum product sales in Naira,” the refinery assured.
The suspension of Naira sales at the Dangote Refinery marks a pivotal shift in Nigeria’s downstream oil sector and could reshape the future of fuel sales in the country. Industry analysts suggest that this move could significantly impact fuel availability and pricing across Nigeria.
The refinery’s decision comes amid escalating disputes with labour unions over the alleged mass sacking of over 800 Nigerian workers. The union leaders have vowed to resist what they described as “an unjust and insensitive corporate decision,” threatening nationwide solidarity actions if the matter is not addressed.