Dangote Petroleum Refinery & Petrochemicals has lowered its ex-depot pricing for petrol, reducing the gantry price to N1,200 per litre and the coastal price to N1,153 per litre. The downward revision occurs as sustained geopolitical instability in the Middle East continues to exert pressure on global oil supply chains and pricing dynamics.
The refinery, which commenced operations in late 2023, sets the gantry price as the cost at which fuel is sold from its depots to major distributors. The coastal price refers to the rate at loaded vessels leave the Lagos jetty for other coastal depots. This adjustment marks a significant shift in the facility’s commercial strategy and is poised to ripple through Nigeria’s downstream petroleum sector.
The move comes despite heightened global oil market volatility fueled by ongoing conflicts in the Middle East, a region critical to worldwide crude supply. Typically, such geopolitical tensions push benchmark crude prices higher, which would ordinarily translate to increased local fuel costs in an import-dependent market like Nigeria’s. However, Dangote’s decision to reduce its ex-refinery prices suggests an internal recalibration of margins or operational efficiencies, injecting a deflationary pressure into the
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