TheCable

The Dangote refinery says it has reduced the price of automotive gas oil (AGO), also known as diesel, to N1,000 per litre.

According to a statement on Tuesday by the refinery, the price of the product was dropped from N1,200 per litre.

“In an unprecedented move, Dangote Petroleum Refinery has announced further reduction of the price of diesel to from 1200 to 1,000 naira per litre,” Dangote refinery said. 

“While rolling out the products, the refinery supplied at a substantially reduced price of N1,200 per litre three weeks ago, representing over 30 per cent reduction from the previous market price of about N1,600 per litre.

“This significant reduction in the price of diesel, at Dangote Petroleum Refinery, is expected to positively affect all the spheres of the economy and ultimately reduce the high inflation rate in the country.”

The development comes days after Dangote refinery fixed the minimum volume of diesel that can be purchased by oil marketers at one million litres.

The 650,000 barrels per day (bpd) capacity refinery was inaugurated by former President Muhammadu Buhari in May 2023.

Subsequently, the plant commenced operations with the production of diesel and aviation fuel on January 12 — after receiving six shipments of crude from oil marketers.