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Home » Business » Dangote Petroleum Refinery and NLNG Respond to LPG Price Surge

Business

Dangote Petroleum Refinery and NLNG Respond to LPG Price Surge

Last updated: October 6, 2025 7:10 am
By Ed O. Mike
Published: October 6, 2025
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People queuing to buy cooking gas during LPG price surge to ₦25,000 in Nigeria
Residents line up to purchase cooking gas as prices rise to ₦25,000 per 12.5kg cylinder
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Lagos, Nigeria – The price of refilling a 12.5kg cylinder of liquefied petroleum gas (LPG) has jumped to ₦25,000, up from ₦17,500 last week. The current rate per kilogram now ranges between ₦1,500 and ₦2,000, depending on location.

Supply Disruptions Behind the Price Surge

Bassey Essien, executive secretary of the Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM), said the recent strike by the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) disrupted LPG distribution.

“Dangote Petroleum Refinery is currently the largest local supplier of cooking gas in Nigeria. The PENGASSAN crisis affected distribution, and many dealers could not restock during the strike,” Essien told Vanguard on Monday. “This price surge is a function of demand and supply, but stability is expected soon following resolution of the conflict.”

Several gas plants in Lagos and neighboring states remained closed on Monday, forcing consumers to search across multiple outlets for LPG.

Dangote Refinery Plans to Boost LPG Supply

Alhaji Aliko Dangote, president of Dangote Group, stated that the refinery currently produces 2,000 tonnes of LPG daily and plans to increase output to meet national demand. He added that if distributors do not act to lower prices, the refinery could sell directly to consumers, encouraging households to shift from firewood or kerosene to LPG.

NLNG Supports Domestic LPG Distribution

Historically, Nigeria’s LPG needs were supplied largely by Nigeria LNG (NLNG) Limited. Since 2022, NLNG has dedicated 100 percent of its butane production to the domestic market under its domestic LPG scheme.

“To efficiently deliver cooking gas to Nigerian homes, NLNG supplies butane to selected partners via approved coastal LPG terminals in Lagos and Rivers states, with additional facilities under review,” the company said. “A dedicated vessel has also been chartered to guarantee regular, reliable deliveries, making LPG more accessible and affordable nationwide.”

TAGGED:Dangote RefineryLPGNALPGAMNigeria LNG Limited (NLNG)PENGASSAN

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ByEd O. Mike
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ED Mike is an author at PenTalk Media, known for clear, engaging stories on politics, business, and society. His work blends solid research with a style that keeps readers informed and connected.
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