LAGOS, Nigeria — The Dangote Petroleum Refinery has reduced the ex-depot price of liquefied petroleum gas (LPG), also known as cooking gas, from ₦810 to ₦760 per kilogram, marking a ₦50 decrease aimed at easing consumer pressure and stabilizing the local energy market.....KINDLY READ THE FULL STORY HERE▶

The price cut, announced on Tuesday, October 7, 2025, positions Dangote’s rate as the lowest among major suppliers in Nigeria. Competing depots are currently selling between ₦910 and ₦950 per kilogram, according to market data. Despite the refinery’s new pricing, many households across the country are still paying more than ₦1,000 per kilogram at retail outlets due to distribution challenges and added depot charges.

Industry observers say the price gap between refinery and retail levels reflects ongoing inefficiencies in Nigeria’s LPG supply chain. Transport costs, limited storage capacity, and middlemen markups continue to push up prices for end users, especially in urban centers such as Lagos, Abuja, and Port Harcourt.

Consumers have welcomed Dangote’s move but expressed frustration that the benefits have not yet reached them. “It’s good that Dangote is selling cheaper,” said Lagos resident Yemi Adebayo. “But until the price drops at our gas stations, it doesn’t make much difference to us.”

In response to rising public demand, some experts are calling for the refinery to begin direct supply to consumers or registered retailers to close the gap between wholesale and market prices. Energy analyst Tunde Adeshina said, “If Dangote starts selling directly to retailers or through verified channels, it could break the monopoly of middlemen and make gas more affordable.”

Meanwhile, the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) recently staged a strike at the refinery over wage and working condition disputes. The industrial action was, however, halted following a court order mandating workers to return to their duties while negotiations continue.

The brief strike had raised concerns about potential disruptions in production and supply, but refinery operations have since resumed normally, according to company insiders. “We are committed to ensuring stability in the market and supporting government efforts to make cooking gas affordable for all Nigerians,” a Dangote spokesperson said.

Nigeria, Africa’s largest crude oil producer, has been facing rising domestic energy costs despite increased refining capacity. The government has repeatedly urged local producers to align with its economic recovery plans by ensuring affordable access to petroleum products.

Experts believe Dangote’s latest price cut could pressure other depots to follow suit, potentially leading to lower prices across the country. However, they warn that without better infrastructure and regulation of distribution networks, consumers may not feel the full impact soon.

For now, Nigerians continue to hope that cheaper gas from the nation’s biggest refinery will soon translate into real savings in their kitchens.