- Dangote Refinery expands free petrol delivery to 10 states, lowering ex-depot price to ₦1,165 per litre
- Eligible bulk fuel buyers can benefit from a 10-day credit facility and reduced transportation costs
- Changes aim to enhance competition and affordability in Nigeria’s petroleum market while improving access to refined products
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
The Dangote Petroleum Refinery has expanded its free petrol delivery programme to 10 states and the Federal Capital Territory, offering fuel marketers cheaper access to locally refined Premium Motor Spirit (PMS).
The latest expansion comes after the refinery reduced its petrol ex-depot price to ₦1,165 per litre, down from ₦1,215, as part of efforts to make petroleum products more affordable and strengthen distribution across Nigeria. The ₦50 reduction took effect on August 6, 2026.
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The free-delivery scheme is designed to reduce the transportation costs normally incurred by marketers when moving petrol from the refinery to their various locations.
The savings could eventually filter through to consumers if marketers reflect the lower logistics and product costs in their pump prices.
Full List of states covered
The expanded programme covers the following locations:
The inclusion of states across the South-West, South-South, South-East, North-West and North-Central regions represents a significant widening of the refinery’s direct-distribution strategy.
The scheme initially covered six locations: Lagos, Ogun, Rivers, Kaduna, Delta and Abuja. Dangote had indicated that additional states would be added as the programme progressed.
Who qualifies for free delivery?
The offer is targeted at bulk fuel buyers rather than motorists purchasing petrol directly. Eligible marketers must purchase a minimum of 250,000 litres to qualify for the arrangement.
In addition to free transportation, qualifying customers are offered a 10-day credit facility, giving marketers additional time to settle their obligations after taking delivery.
The arrangement is expected to ease the financial pressure on fuel distributors, particularly those operating far from the refinery in Lagos. Transportation and logistics expenses have historically been major contributors to differences in petrol prices across Nigerian states.
By absorbing delivery costs for eligible customers, Dangote Refinery is effectively reducing one of the expenses built into the downstream supply chain.
What it could mean for petrol prices
The development could intensify competition among fuel suppliers and depots, especially as Dangote Refinery continues to lower its product prices.
The refinery’s latest ₦50 reduction brought petrol to ₦1,165 per litre, while diesel was reduced by ₦80 to ₦1,570 per litre. The company said the changes were aimed at improving energy affordability, expanding access to refined products and supporting economic activity.
For consumers, however, the final pump price will still depend on the marketer, location, operating costs and prevailing market conditions.
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Free delivery at the bulk-purchase level does not automatically mean every filling station in the affected states will sell petrol at the same price.
Still, the expansion marks another major shift in Nigeria’s downstream petroleum market as Dangote Refinery seeks to move more locally refined petrol directly to marketers while cutting the costs associated with distribution.
Landing cost: Dangote’s new petrol price N53 lower
Legit.ng earlier reported that the cost of bringing petrol into Nigeria from abroad has climbed above what Dangote Petroleum Refinery charges for the same product, according to new industry data that points to a widening price advantage for locally refined fuel.
Figures published in the Major Energies Marketers Association of Nigeria (MEMAN)’s latest Energy Bulletin showed that the spot landing cost of Premium Motor Spirit (PMS) reached N1,218.54 per litre as of August 13.
Source: Legit.ng