Dangote Refinery, Depots Slash Petrol Price to N880.5 Per Litre Amid Market Competition
- Petrol prices from private depots and the Dangote Refinery slightly dropped as competition increased in Nigeria’s downstream sector
- Fuel is still selling at high prices, largely due to foreign exchange challenges, with the dollar trading around N1,443.77 on the black market
- According to MEMAN, the lower prices reflect a drop in landing costs and crude benchmarks, signalling growing market competition
Legit.ng journalist Victor Enengedi has over a decade of experience covering Energy, MSMEs, Technology, Banking and the Economy.
The average price of petrol supplied by private depots and the Dangote Refinery dropped slightly to N880.5 per litre, down from N881.5, amid growing competition in Nigeria’s downstream petroleum market.
Several private depot operators, including Matrix, A.Y.M. Shafa, and Sigmund Zamson, which mainly operate in Warri (Delta State) and Calabar (Cross River State), reduced their selling price to N889 per litre, compared to the previous N890.
Source: UGC
Similarly, the Dangote Petroleum Refinery adjusted its gantry price from N873 to N872 per litre, while Pinnacle maintained its previous rate of N872 per litre.
Legit.ng earlier reported that the depot price of petrol surged to N889 per litre, deepening fears of another round of hardship for citizens and businesses.
Prices adjust across depots, filling stations
According to data released last week by the Major Energies Marketers Association of Nigeria (MEMAN), the landing cost of petrol currently stands at N829.77 per litre, reflecting a 5.69% reduction from Dangote’s former gantry price of N877 per litre.
However, a market survey by Vanguard revealed that consumers have yet to feel the impact of the reduction, as pump prices at filling stations such as MRS, Ardova, and NNPC Limited remain between N920 and N922 per litre in Lagos.
Industry observers have linked the persistent high retail prices to challenges in the foreign exchange market, where the U.S. dollar is currently trading around N1,443.77 in the parallel market.
In its most recent Energy Bulletin published online, MEMAN noted that the reduction was based on a Brent crude benchmark price of $67.02 per barrel.
The association reported that the average 30-day price for Premium Motor Spirit (PMS) stood at N829.77 per litre, with spot prices recorded at N815.38 and N815.40 per litre for ASPM and NPSC-NOJ, respectively.
For other petroleum products, MEMAN listed the average 30-day price of Automotive Gas Oil (AGO) at N974.50 per litre, with a spot rate of N971.80, while Aviation Turbine Kerosene (ATK) averaged N962.53 per litre over the same period, with a spot price of N983.53 per litre.
Speaking with Vanguard, Mazi Colman Obasi, National President of the Oil and Gas Service Providers Association of Nigeria (OGSPAN), explained that the ongoing changes are a natural result of deregulation.
He said:
“The downstream sector has been deregulated and competition should be expected. It is expected that the competition will present more options for consumers in the domestic market.”
Source: Getty Images
Towards the end of October, petrol prices at private depots across Nigeria reportedly dropped below prices offered by Dangote Refinery, marking a milestone in the competition in the downstream sector.
Nigeria’s leading petroleum depot owners
Meanwhile, Legit.ng reported that though the Dangote Refinery frequently captures public attention, the backbone of Nigeria’s fuel supply chain is powered by a network of independent petroleum depot operators.
These businesses are responsible for storing, transporting, and distributing millions of litres of fuel every day, keeping petrol stations stocked and the economy functioning smoothly.
From the busy ports of Lagos to the Calabar Free Trade Zone, they drive intense competition for market dominance, influence, and logistical efficiency.
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Source: Legit.ng
