JUST IN: Nationwide Petrol Price Hike Looms as Dangote Refinery Suspends Sales in Naira, IPMAN Confirms

The Independent Petroleum Marketers Association of Nigeria (IPMAN) has sounded a nationwide alarm over an imminent petrol price hike, following Dangote Refinery’s suspension of Premium Motor Spirit (PMS) sales in Naira.

The development, confirmed by the National President of IPMAN, Abubakar Maigandi, marks a critical turning point in Nigeria’s fuel supply dynamics. Speaking to reporters on Saturday, Maigandi revealed that the 650,000-barrel-per-day mega refinery, in a formal email to its customers on Friday, announced the suspension of Naira-based transactions for petrol purchases, effective Sunday, 28th September 2025.

“Yes, we received the email from Dangote Refinery on the suspension of Premium Motor Spirit sales in Naira on Friday evening. The implication is that our members will announce a fuel price increase. It may take effect from Monday if the Federal Government does not intervene,” he confirmed.

According to him, the immediate impact will be a surge in fuel pump prices, with current rates of ₦865 per litre in Lagos and ₦910 per litre in Abuja expected to climb under a new price template beginning Monday, 29th September 2025 unless urgent government action resolves the Naira-for-crude arrangement.

The refinery’s decision stems from the exhaustion of its crude-for-Naira allocation, a deal initially struck with the Federal Government on October 1, 2024. The agreement was intended to stabilize production costs and keep petrol prices relatively affordable amid foreign exchange challenges. The Federal Government, in April 2025, had even assured Nigerians that the initiative would continue indefinitely.

However, with the exhaustion of this crude swap arrangement, the refinery has been compelled to suspend local currency transactions, leaving marketers to grapple with new realities that are poised to burden millions of Nigerians already facing economic strain.

This latest twist comes against the backdrop of growing controversies surrounding the Dangote Refinery. The company is currently locked in a standoff with the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) over the dismissal of 800 workers, a dispute that has raised fresh questions about labour practices in one of Africa’s largest industrial complexes.

The suspension of petrol sales in Naira and the anticipated price hike now place the Federal Government in a delicate position. Stakeholders argue that swift intervention is needed to prevent nationwide economic shocks, ranging from higher transportation costs to surging inflation in essential goods and services.

For now, the refinery’s announcement and IPMAN’s confirmation signal turbulent days ahead for Nigerian motorists and households, as the battle over crude allocation and fuel pricing enters a decisive stage.