Petrol Prices Fall Below ₦900 as Dangote Refinery Slashes Rates Amid Global Oil Dip
Petrol pump prices in Nigeria have dropped below ₦900 per litre, following a ₦40 cut in ex-depot prices by the Dangote Petroleum Refinery. The price adjustment has triggered a downward shift across multiple filling stations, especially in Lagos and Ogun States, with stations now dispensing fuel between ₦875 and ₦890 per litre. MRS Oil, a major distributor of Dangote’s products, has adjusted its Lagos pump price to ₦885, while prices in other regions vary from ₦895 to ₦915 depending on location.
The Dangote refinery had earlier increased petrol prices to ₦880 per litre in response to a spike in global crude prices during a brief conflict between Israel and Iran. With tensions easing in the Middle East and crude prices dropping, the refinery reverted to a lower ex-depot rate of ₦840, effective June 30. Despite this, many marketers initially resisted adjusting pump prices, selling at higher rates of ₦925 to ₦960 last week.
By Sunday, however, the downstream market showed signs of alignment with the new rates. Many depots reduced their ex-depot prices in response to market competition and the lower cost of crude. Data from Petroleumprice.ng showed several major depot operators such as RainOil, Matrix, and Aiteo offering fuel around ₦837 to ₦858 in Lagos.
Industry experts had anticipated that pump prices would fall in tandem with Dangote’s reduced ex-depot rate, but the National President of PETROAN, Billy Gillis-Harry, explained that most retailers had to sell off existing high-cost stock before adjusting to new prices. With that phase largely completed, filling stations have begun aligning with the current market trend.
As of Sunday, various outlets along the Lagos-Ibadan Expressway reflected new prices: AP, SGR, and As-Sallam sold between ₦875 and ₦885, while Rainoil remained slightly higher at ₦910. This downward trend follows a recent hike driven by rising international crude prices, which had pushed petrol above ₦950 in parts of Nigeria. With Brent crude now trading below $70, fuel prices appear to be stabilizing.
Source: Punch