Dangote Petroleum Refinery has announced another reduction in the ex-depot price of Premium Motor Spirit (PMS), cutting the rate by ₦50 per litre to ₦1,075 per litre in its fourth petrol price reduction within a month.
The latest adjustment, which took immediate effect, lowers the ex-gantry price from ₦1,125 per litre and brings the refinery’s cumulative petrol price reduction to ₦200 per litre since the end of May. Dangote also aligned its coastal loading price with the new ex-depot rate, removing the previous pricing difference between both channels.
The refinery said the move reflects lower production costs and its commitment to passing savings on to marketers despite continuing to process crude oil purchased at previously higher international prices. Industry observers believe the reduction could trigger another round of pump price cuts at filling stations, particularly among marketers sourcing products directly from the refinery.
In another significant change, Dangote Refinery has ended its 20-member product-loading consortium arrangement. The company says petrol loading at both its gantry and coastal terminals is now open to all qualified marketers, a move expected to improve competition, expand distribution and make fuel more accessible nationwide.
The latest price cut comes amid increasing competition in Nigeria’s downstream petroleum sector following deregulation. Analysts say the sustained reductions could ease transportation costs and provide some relief for businesses and households if independent marketers transfer the savings to consumers.
However, market watchers caution that global crude oil prices, exchange rate fluctuations and logistics costs will continue to influence retail pump prices in the coming weeks.
With four downward reviews in just one month, Dangote Refinery has reinforced its position as a major price setter in Nigeria’s fuel market, as consumers and marketers alike watch for whether the latest reduction translates into cheaper petrol at filling stations across the country.
