Following the recent announcement by Dangote Refinery to temporarily halt the sale of petroleum products in Naira, petrol stations in Lagos have increased the price of a litre of petrol from N860 to N930. This is also happening in other parts of the country like Abuja and major northern cities, with filling stations now selling a litre of petrol between N950 to N970.
According to Dangote Refinery the decision is necessary to avoid a mismatch between our sales proceeds and its crude oil purchase obligations, which are currently denominated in US dollars.
The Company’s sales of its products in Naira have exceeded the value of Naira-denominated crude it has received from the Nigerian National Petroleum Company Limited (NNPCL).
As a result, there is need to temporarily adjust its sales currency to align with crude procurement currency”.
The Company said it would resume the sale of its product to the local market in Naira as soon as it received crude cargoes from the NNPCL in Naira.