Depots Slash Petrol Prices as Dangote Refinery Sells to US
- Competition for customers has led depot owners to slash their petrol prices to within touching distance of Dangote Refinery's rate
- Dangote Refinery's efforts to supply directly to retailers and large consumers with free logistics have also intensified the competition
- About 1,000 trucks have already arrived in Lagos, with nationwide distribution to begin by the end of September
Legit.ng journalist Dave Ibemere has over a decade of experience in business journalism, with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Fuel depots across Nigeria have slashed petrol prices as marketers intensify competition for market share.
Source: Getty Images
A market survey released by petroleumprice.ng on Tuesday, September 2, 2025, showed that at least nine depots, including Dangote Refinery, Heyden, Integrated, 11Plc, Aiteo, Sahara, MRS Tincan, and Bovas, were selling Premium Motor Spirit (PMS) at N821 per litre.
While Rainoil and Nipco posted higher depot prices at N850 per litre, Prudent Ogharra, Matrix Warri, Sigmund and Soroman sold at N840.
At the retail level, Ardova Petroleum offered petrol at N845 per litre, compared with N865 at pumps operated by NNPC, 11Plc, MRS and TotalEnergies.
Why are petrol prices dropping?
The reduction in petrol prices was triggered by Dangote Refinery's recent plans to bypass traditional middlemen by supplying products directly to petrol stations, manufacturers, telecoms firms, aviation companies and other large consumers, with free logistics included.
The company has invested N720 billion to deploy 4,000 CNG-powered trucks nationwide, a move it said would save Nigerians over N1.7 trillion annually in fuel distribution costs.
The Sun reported that a refinery source confirmed recently that 1,000 trucks had already arrived out of the 4,000 ordered from China, with distribution set to begin in Lagos and the South West before expanding nationwide.
The source said:
“We have received up to 1,000 trucks. More are still coming, and we believe all will be delivered by the end of September.”
Also, Anthony Chiejina, Dangote Group’s communication officer, confirmed to Legit.ng that despite delays, the plan to sell petrol directly is still on course.
Source: Getty Images
Dangote sells petrol to US
Meanwhile, in a further sign of its growing influence, Dangote Refinery has exported its first petrol cargo to the United States.
Vessel-tracking data from analytics firm Kpler showed the Gemini Pearl lifted about 300,000 barrels of gasoline from the Lekki-based facility on August 26 and is headed to the US East Coast, likely New York or New Jersey.
The shipment comes as US Atlantic Coast fuel inventories remain tight and RBOB gasoline prices surge, creating an arbitrage window for Nigerian supply.
Dangote has already supplied three large shipments to the Middle East Gulf and Singapore this year, positioning itself as a potential swing supplier in the global fuel trade.
NNPC slashes petrol prices
Earlier, Legit.ng reported that the Nigerian National Petroleum Company Limited (NNPC) reduced the petrol pump price across its filling stations in Abuja.
The new price marked a reversal, barely two days after the rate was increased to reflect changes in global crude oil prices.
Checks at NNPC stations showed that the petrol pump price in Lagos was N865 per litre.
Proofreading by James Ojo, copy editor at Legit.ng.
Source: Legit.ng
