Dangote Cuts Fuel Price, Expands Investments Into Burundi

Nigeria’s industrial leader, Aliko Dangote, has made headlines this week by lowering petrol prices at his refinery and announcing new investment plans in East Africa. These actions show a broader vision for the Dangote Group, which aims to increase its presence in the African market.

On Tuesday, Dangote Petroleum Refinery revealed it would cut the gantry price of Premium Motor Spirit (PMS), commonly known as petrol, by ₦25 per litre. This change lowered the ex-depot price from ₦799 to ₦774.

The adjustment took effect immediately and was shared with petroleum marketers in a notice from the refinery’s Group Commercial Operations Department.

“This is to notify you of a change in our PMS gantry price from ₦799 per litre to ₦774 per litre,” the notice stated, highlighting the company’s reaction to changing market conditions and pricing pressures.

Industry analysts view the move as part of the Dangote refinery’s efforts to enhance the competitiveness of locally refined products in Nigeria’s open downstream sector.

This sector has faced significant instability since the removal of fuel subsidies. Market observers note that the refinery’s prices now undercut some costs of imported petrol, which could affect retail prices.

The price cut happens amid ongoing changes in PMS pricing after the deregulation of Nigeria’s downstream petroleum market.

While the price change is small at the gantry level, many Nigerians and energy sector experts are watching to see if lower ex-depot costs will result in real savings at the pump.

This concern is particularly relevant in a country where energy costs significantly impact daily life and the economy.

Dangote is also working to grow his business outside Nigeria, according to reports. During a recent visit to Burundi, he discussed new investment opportunities with President Evariste Ndayishimiye across several key sectors.

In talks with Burundian leaders, and alongside former Nigerian President Olusegun Obasanjo, Dangote highlighted a pan-African investment approach.

He says, “Our focus really is investing heavily in the African continent, not anywhere else, and so Burundi is part and parcel of that African region.”

Officials from both sides have since set up technical teams to identify priority sectors. The priority focuses on infrastructure, energy, logistics, and agriculture.

These areas are viewed as essential for Burundi’s long-term growth and for the Group’s expansion strategy across the continent.