Private Depots Slash Fuel Prices, Rival Dangote Refinery for Customers
- Private depot owners are offering lower prices to attract more customers in direct response to Dangote Refinery
- The latest adjustment has seen diesel prices drop, with many depots selling petrol at rates lower than Dangote’s
- The price competition in the downstream sector is expected to influence how much Nigerians pay for petroleum products
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.
The prices of petroleum products such as Automotive Gas Oil (AGO), commonly known as diesel, and Premium Motor Spirit (PMS), also known as petrol, have dropped at private depots across the country, intensifying competition with the Dangote Refinery.
Source: Getty Images
For diesel, operators including MAO, MENJ, TMDK, and DUPORT are now selling at N958 per litre a 3% reduction from N985 last week
The new price is also slightly lower than Dangote Refinery’s ex-depot price of N960 per litre.
The development, according to market watchers, signals the beginning of a new phase of competition as depots adjust to Dangote’s growing market influence.
Price war in the Nigeria fuel market continues
Industry data from Petroluemprice.ng showed that as of Wednesday, October 8, 2025 private depots are now actively benchmarking their prices against Dangote’s.
In the petrol segment, Sigmund sold at N860 per litre, Liquid Bulk at N865, and Pinnacle at N840. Dangote’s price stood at N838 per litre.
While MENJ and AIPEC are selling at N836 and N837, respectively.
Other players, including Rainoil, Matrix, and A.Y.M. Shafa, maintained prices between N855 and N865 per litre.
Analysts say that while the Dangote Refinery remains a dominant force in the supply chain, private depot owners are leveraging pricing flexibility and existing customer networks to retain market relevance.
The intensified rivalry, they add, could benefit consumers in the short term, potentially leading to lower pump prices if logistics and exchange rate costs remain stable.
However, experts caution that the sustainability of the price cuts will depend on how long depots can absorb reduced margins amid fluctuating forex rates and rising operational costs.
Source: Getty Images
NNPC's new fuel price
The hope for lower fuel prices has been complicated as NNPC Limited adjusted pump prices across its filling stations.
In Lagos, the petrol price increased from N865 per litre to N870 per litre, while in Abuja, it rose from N890 to N905 per litre.
With this adjustment, Nigerians are now paying more for petrol at NNPC retail outlets compared to Dangote Refinery’s partner stations.
Dangote partners with new petrol price
Earlier, Legit.ng reported that Dangote refinery recently announced that partners who signed up for its free distribution of petroleum products would be able to sell petrol at lower prices within the range of N841 to N851 per litre.
The refinery promised that Nigerians will be able to buy at the above rate in Lagos, Ogun, Oyo, Ondo, Osun, Ekiti, Abuja, Kwara, Delta, Rivers, and Edo states.
Checks show that since the initiative kicked off on September 15, petrol prices have remained unchanged.
Proofreading by James Ojo, copy editor at Legit.ng.
Source: Legit.ng
