Fuel prices from Nigeria’s Dangote Refinery, the world’s largest single-train refinery, are set to rise following a surge in gantry prices and global crude oil costs. Pump prices for petrol have already increased in some regions, with projections suggesting that prices could reach as high as N1000 per litre, up from the current N874.
The refinery confirmed that the gantry price has been reviewed from N774 per litre to N874 per litre. This adjustment reflects changes in global crude fundamentals and replacement costs, a senior official explained. Chinedu Ukadike, National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria, confirmed that the pump price could range between N980 and over N1000 per litre depending on location and logistics.
The increase comes amid rising global crude oil prices driven by escalating conflict in the Middle East, particularly tensions involving Iran. Crude oil benchmarks Brent and West Texas Intermediate have risen sharply, reflecting concerns over potential supply disruptions. As of early March 2026, crude prices reached $82 per barrel after previously standing at $78, reflecting market fears of interrupted supply.
At the heart of these concerns is the Strait of Hormuz, a strategically vital maritime corridor through which nearly one-fifth of the world’s oil supply passes daily. Any threat to tanker traffic in this chokepoint immediately impacts global energy markets. Minor slowdowns caused by military activity, increased inspections, or higher insurance costs can constrain supply expectations and push prices higher. Analysts warn that if disruptions continue or intensify, oil prices could exceed $100 per barrel.
Beyond responding to global market pressures, Dangote Refinery is pursuing broader strategic objectives to support African industrialization and energy security. The company has plans to invest in electricity generation, steel manufacturing, and port facilities, which are expected to enhance domestic infrastructure and reduce dependence on imported energy and industrial inputs.
For Nigerian consumers, this latest fuel price adjustment underscores the sensitivity of domestic prices to international developments. The rise affects petrol availability and affordability across the country, particularly in urban areas where demand is highest. Experts highlight that while Dangote Refinery provides a large domestic supply, regional price differences will continue due to logistics and distribution costs.
The refinery’s investment plans align with Africa-wide efforts to industrialize and modernize energy infrastructure. By producing electricity and developing steel and port facilities, Dangote aims to integrate energy and manufacturing systems, thereby strengthening resilience against both domestic and international shocks.
As the conflict in the Middle East continues to influence oil prices globally, Nigerian motorists and businesses are advised to prepare for ongoing volatility in fuel costs. Industry observers note that the combination of geopolitical tensions, refinery supply considerations, and local logistics will likely continue to shape pump prices in the coming months.
