Dangote Refinery Crashes Petrol Prices Again, MRS, Heyden, Other Partner Stations Adjust Pumps

• Dangote Refinery has reduced its gantry petrol prices again from N835 to N825 per litre, a move considered a response to depot owners and importers
• The depot owners recently accused the refinery of trying to monopolise the Nigerian fuel market with incessant price cuts
• The current price slash has now intensified the price war between the refinery and depot owners

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.

Dangote Refinery has crashed the petrol gantry price to N825 per litre from N835 amid the ongoing price war in the sector.

The move has intensified competition with private depot owners, who accused the refinery of plotting to monopolise the downstream sector in Nigeria.

Dangote hits back at importers

The Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) earlier raised an alarm over what it described as an emerging market control in the downstream petroleum industry.

The marketers warned that control of the Dangote Refinery could disrupt the market if not properly managed.

Experts claimed the new price cuts were a direct aim at the depots as it seeks to tighten control on Nigeria’s petrol supply, where price war determines market dynamics.

According to PetroleumPriceng, as of Saturday, May 10, 2025, Dangote Refinery listed retail prices at N830 per litre, reflecting the new price cuts.

The refinery’s pricing strategy tightens the noose on depot owners and importers who lament the cost of the price slashes.

Analysts noted that the depot owners and importers are weighed down by FX volatility and high landing costs, which affect their competitiveness.

Crude oil no longer drives market competition

According to them, crude oil prices are no longer the determining factor for driving fuel prices, as local forces, especially competition between the mega refinery and private depot owners, now determine prices.

The refinery reportedly controls over 50% of Nigeria’s fuel market and has consistently embarked on price cuts since February this year.

The facility has yet to officially announce the new price cuts, however, sources say it offers flexible deals to its bulk buyers, who now resell the product at N830 per litre.

Filling stations adjust to new prices

According to reports, several filling stations have adjusted their pump prices to reflect the new cut.

Currently, Menj filling stations now sell Dangote petrol at N837 per litre, MRS at N836 from N880, and Swift at N835.

The new price cuts have reduced the gap by N10 to N15, mounting pressure on competitors.

Experts have said Dangote’s market dominance comes from aggressive pricing and operational efficiency. The refinery continues to expand, further straining smaller industry players.

Price cuts offer relief to consumers, expert says

Speaking with Legit.ng, Wale Ogundeji, an energy analyst, said that these cuts come at a time when inflation, logistics costs, and energy expenses have significantly strained households and businesses.

He said:

"From an economic standpoint, the price drop, driven partly by the operational commencement of the Dangote Refinery, offers immediate relief to consumers and is likely to trigger a ripple effect across the economy.

"Lower petrol prices reduce transportation and production costs, which could moderate inflationary pressures in the short term. For manufacturers, cheaper fuel translates to lower overheads, possibly encouraging more competitive pricing of goods and services."

Ogundeji said the move boosts Nigeria’s refining capacity, reduces reliance on fuel imports, supports energy self-sufficiency, and introduces new pricing competition in the market.

He said:

"Strategically, this move enhances the refining capacity within Nigeria, reducing dependence on imported fuel. This aligns with the federal government’s long-term objective of achieving energy self-sufficiency and conserving foreign exchange."

He reiterated that these reductions mark a positive shift for consumers and industry as their long-term impact will depend on continued investment in local refining capacity, policy consistency, and market transparency.

Dangote replies marketers over monopoly claims

Legit.ng earlier reported that Dangote Refinery debunked claims by oil marketers that it cannot meet local fuel demand.

The refinery’s officials disclosed that the facility has enough fuel to meet local demands and for export.

Legit.ng reported that Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN) said the 650,000 bpd-capacity refinery cannot meet Nigerians' now reduced petrol consumption needs.

The article was updated by the head of the business desk, Victor Enengedi, with a comment from an industry expert.

Proofreading by James Ojo, copy editor at Legit.ng.

Source: Legit.ng