US-Iran War: Dangote Petroleum Refinery Raises Petrol Price To N875/Litre

In what appears to be the first major fallout of the ongoing US-Iran war on Nigeria’s economy, Dangote Petroleum Refinery has increased its Premium Motor Spirit (PMS) gantry price by N100, raising the ex-depot rate to N874 per litre from N774.

The new pricing structure, which took effect on Monday, March 2, 2026, is already triggering adjustments at retail outlets nationwide, with pump prices expected to rise in the coming days.

Industry analysts attribute the hike to a spike in global crude oil prices following escalating hostilities between the United States and Iran. The conflict, which has spread across parts of the Middle East, has reportedly disrupted oil supply chains, with several refineries in Saudi Arabia and other parts of the region affected.

The price adjustment also follows the refinery’s suspension of petrol loading operations effective midnight, March 2, after international crude oil prices surged past $80 per barrel overnight.

A senior refinery official confirmed the development, noting that the decision was driven by global market volatility.

“Yes, the price has been reviewed. The new gantry price is now N874 per litre, up from N774. The revision became necessary due to changes in global crude fundamentals and replacement costs,” the official, who preferred not to be named, said.

Checks on petroleumprice.ng indicated that the new pricing has already been implemented, signalling a shift in downstream benchmarks that could further pressure retail pump prices.

Industry data revealed that while PMS loading and issuance of proforma invoices were temporarily halted, Automotive Gas Oil (diesel) loading continued uninterrupted.

The refinery’s decision has sent ripples across Nigeria’s downstream petroleum sector, with several private depot owners reportedly suspending petrol sales amid concerns over replacement costs.

A downstream operator said, “Several depot owners suspended PMS sales because of the crude rally. The market is already factoring in risk premiums. Nobody wants to sell below replacement cost.”

Meanwhile, the crisis escalated after American forces reportedly launched “major combat operations” against Iran.

Reports indicate that Iran’s Supreme Leader, Ali Khamenei, and some top officials were confirmed dead in the attacks.

US President Donald Trump said the joint US-Israeli offensive, code-named “Operation Epic Fury,” could last at least four weeks. A senior White House official also confirmed that the operation would continue despite signals from Iran’s new leadership indicating a willingness to negotiate.

Economic observers warn that prolonged instability in the Middle East could sustain upward pressure on global crude prices, with direct implications for Nigeria’s fuel market and inflation outlook.