On Tuesday, Dangote Refinery announced a significant price cut for diesel, reducing it from N1,200 to N1,000 per liter. This adjustment is projected to benefit all economic sectors and contribute to lowering the country's high inflation rate.

The refinery emphasized that this price drop represents a substantial decrease from the previous market rate of approximately N1,600 per liter, which was already over 30% lower due to the refinery's efforts.

The Dangote Petroleum Refinery, which had started producing diesel and aviation fuel earlier in January, had received its first six million barrels of crude oil through its two Single Point Moorings (SPMs) located 25 kilometers offshore. The initial crude shipment arrived on December 12, 2023, from the Agbami field operated by Shell International Trading and Shipping Company Limited (STASCO), which handles over 8 million barrels of oil daily.

Following this, the refinery processed an additional one million barrels of Bonny Light crude from the Nigeria National Petroleum Company (NNPC Ltd), with the delivery facilitated by the tanker MT Otis from Trafigura.

This move to ramp up production and reduce prices is part of Dangote's strategy to commence local distribution of refined petroleum products, aiming to influence both economic growth and inflation positively.