Dangote Petroleum Refinery has announced a reduction in the gantry price of Premium Motor Spirit to N835 per litre following a decline in global crude oil prices.
The new price reflects a 3.5 per cent decrease from the previous rate of N865 per litre.
The latest adjustment comes just weeks after the refinery lowered its petrol price from N880 to N865 per litre.
However, oil marketers did not fully transfer the reduction to consumers, prompting calls for improved price transmission mechanisms across the downstream market.
The move aligns with falling global crude oil benchmarks as Brent crude oil declined to $64 per barrel, down from over $70 in recent weeks on the back of weaker global demand and increased supply from non-OPEC producers.
The price drop has provided downstream refiners like Dangote with room to adjust local ex-depot rates.
The Dangote Refinery, with a nameplate capacity of 650000 barrels per day, remains a critical part of Nigeria’s domestic energy strategy.
Commissioned to reduce the country’s reliance on imported refined petroleum products, the facility has started ramping up local supply of PMS diesel and aviation fuel in phases.
Industry stakeholders have welcomed the refinery’s proactive pricing approach, which is expected to contribute to broader energy cost stability if replicated across the distribution chain.
However, analysts note that retail pump prices remain influenced by several factors, including transportation costs, taxes and retailer margins.
Despite the price drop at the gantry level, pump prices across many locations remain unchanged, highlighting gaps in market coordination.
Independent marketers and major distributors are being urged to reflect the refinery’s reduction in their retail pricing to improve affordability for consumers.
The Dangote Group has reiterated its commitment to supporting the Federal Government’s objective of achieving energy self-sufficiency through local refining.
The refinery is expected to play a long-term role in stabilising fuel prices, improving foreign exchange liquidity and driving industrial output.
As global crude dynamics continue to evolve, downstream operators in Nigeria will be expected to demonstrate price responsiveness while ensuring market efficiency and transparency in line with regulatory frameworks.
