Categories: Commodities

Diesel Price Plummets as Dangote Refinery Floods Market

The pump price of diesel dropped from approximately N1,700 per litre to around N1,350 per litre in various locations nationwide.

This noteworthy reduction comes as a direct consequence of the recent entry of Dangote Petroleum Refinery into the market as confirmed by industry sources.

The $20 billion worth refinery, a monumental addition to Nigeria’s industrial landscape, commenced the distribution of diesel to the domestic market last Wednesday. Since then, it has made available a minimum of one million litres to registered oil marketers.

Officials from the refinery, alongside oil dealers, have confirmed the sale of diesel to marketers at competitive prices ranging between N1,225 and N1,300 per litre, depending on the volume of purchase.

The move has been met with enthusiasm from stakeholders, with optimism regarding its potential to drive further reductions in diesel prices across the country.

Abubakar Maigandi, the National President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), expressed confidence in the refinery’s impact on the market, noting that the initiative would lead to a notable decrease in diesel prices.

He highlighted that the recent surge in diesel prices, reaching as high as N1,700 per litre, would likely be reversed due to the increased availability of the commodity from Dangote Refinery.

As the refinery continues its operations and plans for the release of Premium Motor Spirit (PMS) in the coming months, consumers remain hopeful for sustained downward pressure on fuel prices, offering a promising outlook for economic relief and stability.

Samed Olukoya

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

Share
Published by
Samed Olukoya

Recent Posts

Naira Falls to N1,676.90/$1 at Official Market, Slides to N1,708.87/$1 at Alternative Window

The Naira depreciated at the Nigerian Autonomous Foreign Exchange Market (NAFEM) by 0.61 percent and…

1 hour ago

President Tinubu Orders Release of Minors Prosecuted for #BadGovernance Protests

Following a recent viral video on the X app regarding the prosecution of minors who…

5 hours ago

Nigerian Army Seizes 700,000 Liters of Stolen Petroleum in Sweeping Raid Across Four States

In a series of raids across Rivers, Bayelsa, Akwa Ibom, and Delta states, troops from…

5 hours ago

Persistent Service Disruptions In Banks Paralyze Activities At Ports, Many Cargoes Trapped 

Activities at the Apapa and Tin-Can Ports in Lagos State have been paralyzed as cargoes…

5 hours ago

MTN Nigeria Strengthens Working Capital By Raising N50bn In New Commercial Paper

MTN Nigeria Communications PLC (MTN Nigeria) has disclosed plans to raise N50 billion through its…

5 hours ago

OPEC+ Supply, Trump-Harris Election Face Off Lend Support to Oil Prices

The decision of the Organisation of the Petroleum Exporting Countries and its allies, OPEC+ to…

5 hours ago