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Dangote Refinery reverses plan to sell petrol in dollars after FG intervention
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Sales in naira resume immediately, halting fresh pressure on fuel prices
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Analysts hail move, warn dollar-only policy could have crashed the naira
The Dangote Refinery has reversed its decision to sell petrol exclusively in dollars, following swift intervention by the Federal Government.
The company disclosed in a notice to marketers that the decision was taken after the Naira-for-Crude Technical Committee Chairman stepped in, ordering sales to continue in local currency. The reversal comes barely 24 hours after the refinery suspended naira transactions.
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FG Intervention Stops Price Hike
According to the refinery’s communication, marketers can now proceed to place their orders in naira, effective immediately, either through self-collection or delivery across the country.
On Friday, September 27, the facility had halted sales in naira, citing the depletion of its crude-naira allocation. The suspension raised fears of fresh hikes in petrol prices as marketers prepared to flood the forex market for dollars.
Analysts Warned of Forex Chaos
Energy analysts said the dollar-only policy would have triggered severe currency pressure.
“Imagine the pressure the decision would have put on the FX market. All the marketers would have rushed for scarce dollars at once, creating panic and further weakening the naira,” financial analyst Mr Osas Igho told reporters.
Pump Prices Already Climbing
The announcement initially sent petrol prices soaring beyond the N860 per litre threshold in major cities. Marketers had adjusted their pumps in anticipation of forex-linked sales.
Although the refinery has since restored naira sales, its ex-depot price was raised to N860, a move analysts linked to rising global crude prices, which recently hit a seven-week high.
READ ALSO: PENGASSAN Orders Nationwide Strike Over Dangote Refinery Sack of 800 Workers
Naira-for-Crude Initiative in Focus
The refinery’s currency dilemma stems from the federal government’s naira-for-crude sales initiative. The Nigerian National Petroleum Company Limited (NNPC) suspended the scheme in March 2025 after forward-selling all its crude until 2030.
However, the Ministry of Finance later confirmed the continuation of the arrangement beyond March, a policy that analysts say has provided temporary relief for the naira.
What It Means for Nigerians
Experts argue that Dangote’s reversal will help stabilise petrol supply and shield the naira from unnecessary forex panic. But with pump prices hovering between N865 and N895 in several states, motorists say the impact of the refinery’s policies is yet to be felt.
