Dangote Refinery cuts fuel price before planned sales to local Nigerian market
Dangote Refinery said on Wednesday it has cut fuel prices in Nigeria to 820 naira ($0.54), just days before plans to start supplying fuel directly into the local market which could put it in direct competition with local fuel traders.
The latest price cut from 850 naira, effective from Aug 12, comes as the company targets fuel supply directly to retail stations, manufacturers, telecoms firms, and other large users, to boost supply of its products.
Dangote's 650,000-bpd refinery, built by Africa's richest man Aliko Dangote, said on Monday it is importing 4,000 natural-gas powered trucks for use in local distribution of refined products from Aug 15 (learn more).
Petrol prices were set by the government until 2023 when President Bola Tinubu axed a costly subsidy to try to jump start economic growth. The move instead spurred inflation, angering the population.
Dangote Refinery, Africa's largest, began operations earlier this year and is seen as a key player in Nigeria's push to reduce reliance on imported fuel.
($1 = 1,531.80 naira)
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