The Dangote Petroleum Refinery has reduced the price of aviation fuel, Jet A1, from ₦1,750 to ₦1,650 per litre, in a move expected to bring some relief to Nigeria’s struggling airline operators.

According to a report by Punch Newspapers, the refinery announced the reduction on Monday, saying the new price forms part of wider measures aimed at stabilising fuel supply and easing financial strain on the aviation sector.

The decision follows repeated warnings from the Airline Operators of Nigeria that rising aviation fuel costs could force domestic airlines to suspend operations.

Operators said prices surged sharply after the recent US-Iran conflict, climbing from about ₦900 per litre before the crisis to between ₦2,700 and ₦2,900, with some marketers reportedly charging as much as ₦3,300.

In its statement, the refinery said the latest price cut also comes with a 30-day interest-free credit facility for marketers and airlines, supported by bank guarantees. It also confirmed a switch from dollar-based pricing to a naira-denominated system.

The company said the package is designed to reduce the burden on local carriers, as aviation fuel remains one of the largest operational expenses for airlines.

Industry stakeholders have repeatedly warned that soaring Jet A1 prices are threatening the sustainability of air travel operations in the country, with operators struggling to keep ticket prices affordable while covering rising overheads.

The refinery said the intervention should lower fuel procurement costs, improve operational stability and support efforts to moderate airfares for passengers.

The latest move comes as businesses across Nigeria continue to feel the impact of global oil market disruptions linked to heightened tensions between the United States and Iran.