Dangote Refinery Cuts Petrol Price Again as Fierce Competition With Depot Owners Intensifies
- Dangote Refinery adjusts petrol prices amid competitive pressure from depot operators, lowering their rates
- Energy experts predict further reductions as declining crude prices influence market dynamics
- Ongoing import dispute raises questions about the future of local refining and fuel supply in Nigeria
Pascal Oparada is a journalist with Legit.ng, covering technology, energy, stocks, investment, and the economy for over a decade.
Nigeria’s downstream petroleum sector is witnessing a renewed petrol price war as Dangote Refinery moves to match the latest pricing by depot operators in a bid to remain competitive.
The development comes after several fuel depots reduced their petrol prices below Dangote Refinery’s ex-depot rate, forcing Africa’s largest refinery to adjust its pricing strategy amid growing competition.
Source: Facebook
Dangote responds to market pressure
To maintain its market position, Dangote Refinery has announced a fresh ex-depot petrol price of N1,252 per litre, bringing its rate in line with some of the country’s leading depot operators.
The latest adjustment follows an earlier increase by the refinery, which raised its ex-depot price by 0.46 per cent to N1,256 per litre after previously lowering it to N1,250 per litre.
Industry analysts attributed the earlier increase to rising crude oil prices triggered by renewed tensions between the United States and Iran over control of the strategic Strait of Hormuz, a critical global oil shipping route.
Depot operators trigger fresh competition
The current battle highlights the growing rivalry between Dangote Refinery and petroleum depot operators, many of whom continue to import refined products despite the refinery’s massive local production capacity.
Data from PetroleumPriceNG shows that several depots have adjusted their prices downward as international crude oil prices began to ease.
Among the depots offering competitive rates are MRS, A.A. Rano, African Terminal, and Integrated, which have all pegged their petrol prices at N1,250 per litre, slightly below Dangote Refinery’s previous rate.
The aggressive pricing strategy by depot operators has intensified competition and raised expectations of further price reductions across the sector.
Experts predict further price cuts
Energy policy experts believe the current price battle is far from over and expect additional reductions in the coming days.
“It is a matter of time. Dangote Refinery will soon drop its ex-gantry price because the price war is real and intense,” energy analyst Osas Igho told Legit.ng in a telephone interview.
Market observers say declining international crude oil prices could create room for more downward adjustments, providing some relief to marketers and consumers.
Import dispute remains unresolved
The renewed competition comes amid an ongoing dispute between Dangote Refinery and authorities over fuel importation.
The refinery had previously challenged the continued issuance of petrol import licences by the Nigerian government and sued selected marketers involved in fuel imports.
Dangote Refinery maintains that it possesses sufficient capacity to meet Nigeria’s domestic petrol demand and has argued that continued imports undermine local refining efforts.
Supply capacity debate continues
Read also
Dangote Refinery releases fresh petrol prices 24 hours after rate cut, depot operators join
Fresh data released by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) indicates that Dangote Refinery supplied about 99 per cent of Nigeria’s domestic petrol requirements in April 2026.
However, the Nigerian National Petroleum Company Limited (NNPC) has maintained that the refinery alone cannot fully satisfy the country’s fuel consumption needs.
Source: Getty Images
The differing positions continue to fuel debate over the future of petrol imports and the role of local refining in Nigeria’s energy security strategy.
As competition intensifies and crude oil prices fluctuate, industry stakeholders are closely watching whether the latest pricing moves will trigger another round of petrol price reductions across the country.
Depots announce new petrol prices
Legit.ng earlier reported that private depots in Nigeria followed Dangote Petroleum Refinery in lowering petrol prices on Monday, June 1, 2026.
The price cuts by operators range between N1 and N22/litre, depending on the location and volume.
The latest move by depot owners has now fueled increased competition in the downstream oil industry for customers.
Source: Legit.ng
