The Dangote Refinery has reduced its ex-gantry price of Premium Motor Spirit (PMS), also known as petrol, to ₦1,075 per litre, representing a ₦100 drop from the previous price of ₦1,175 per litre.
The company’s Chief Communications Officer, Anthony Chiejina, confirmed the development, explaining that petrol supplied through coastal distribution channels will now sell at ₦1,050 per litre.
The refinery also announced a reduction in the price of diesel, which has dropped from ₦1,620 per litre to ₦1,430 per litre, reflecting a ₦190 decrease.
According to the refinery, the adjustment reflects the recent decline in global crude oil prices. It explained that its crude supply is priced using international benchmark rates with an additional premium ranging between $3 and $6 per barrel.
The company noted that foreign exchange used for crude purchases is sourced at the prevailing market rate and not subsidised. It added that crude obtained under the Naira-for-Crude arrangement is still calculated based on the global benchmark price before being converted to naira using the current exchange rate.
The refinery stated that the decision aligns with its commitment to responsible corporate practices and the need to reflect global market realities in its pricing structure.
The latest adjustment marks the first reduction in petrol prices after three successive increases in recent weeks that had pushed the commodity’s price significantly higher.
Earlier, the refinery had raised the price of petrol to ₦1,175 per litre after previous increases from ₦995 per litre on March 7 and ₦874 per litre on March 2.
Meanwhile, the refinery’s Chief Executive Officer, David Bird, recently explained that the company is not insulated from global oil market shocks since it sources crude oil based on international benchmark pricing.
The reduction in petrol prices comes as global crude oil prices dropped to around $90 per barrel amid ongoing tensions in the Middle East involving the United States, Iran and Israel.
Oil marketers, however, have warned that petrol prices in Nigeria could still rise further if the geopolitical tensions continue to disrupt global supply chains.
The National President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, said Nigerians should prepare for possible increases in petrol prices, noting that the cost could rise to about ₦1,500 per litre if the conflict persists.
He added that the consistent supply of petroleum products from the Dangote Refinery remains crucial for Nigeria’s energy security, stressing that product availability is more important than price stability in periods of global market volatility.
