Fuel prices in Nigeria have risen sharply over the past week since US-backed attacks on Iran drove a surge in oil prices, with the Dangote Refinery suspending the loading of petrol for sale to retailers, according to multiple local reports.
The Lagos-based Dangote Refinery — Nigeria’s largest privately owned plant, with a capacity of 650,000 barrels a day — has become a price determiner in the domestic market since it came online nearly two years ago, shortly after Abuja ended nationwide fuel subsidies. But despite Nigeria’s status as a major oil producer, the refinery has relied on foreign producers for some of its feedstock. In the time since the Iran war, Dangote has raised its price more than once as crude oil prices have risen globally.
Higher crude oil prices could greatly benefit Nigeria and other African oil producers. Nigeria’s 2026 budget was benchmarked against an oil price of around $65 per barrel, but oil prices were edging towards $120 early on Monday. Still, higher oil prices could raise the import bill for essential goods, Angola’s economy minister warned.
