Nigerians may soon begin to pay more for premium motor spirit (PMS), commonly known as petrol, as one of the major suppliers of the product, Dangote Petroleum Refinery, has stopped selling it in Naira.
The $20 billion Lagos-based refinery said it would stop the sale of petrol in local currency from tomorrow, Sunday, September 28, 2025, because it has exhausted its crude-for-Naira allocation from the Nigerian government.
To ensure prices of petroleum products remain affordable, the federal government introduced the crude-for-Naira policy, selling crude oil to private refineries in domestic currency.
Since the introduction of this initiative, the price of PMS has remained below N1,000 at the pump, but things may go awry if nothing is urgently down supply Dangote Refinery with sufficient crude oil in Naira. The facility imports the commodity from outside the country to make up for local shortfall.
In a notice signed by the Group Commercial Operations of Dangote Petroleum Refinery and Petrochemicals, and sent to customers on Friday evening, the company said, “We write to inform you that Dangote Petroleum Refinery and Petrochemicals has been selling petroleum products in excess of our Naira-Crude allocations and, consequently, we are unable to sustain PMS sales in Naira going forward.
“Kindly note that this suspension of Naira sales for PMS will be effective Sunday, September 28, 2025. We will provide further updates regarding the resumption of supply once the situation has been resolved.
“All customers with PMS transactions in Naira who would like a refund of their current payments should formally request the processing of their refund.”