Dangote Refinery has lowered the gantry prices for both Premium Motor Spirit and Automotive Gas Oil across Nigeria, a move expected to ease pressure on retail fuel costs nationwide.
The 700,000-barrel-per-day facility cut its petrol price to N1,165 per litre from N1,215, a reduction of N50. Diesel prices were lowered to N1,570 per litre from N1,650, representing an N80 per litre decrease. The adjustments took effect on Wednesday.
Industry observers anticipate the reductions will translate to lower pump prices at filling stations throughout the country. The National President of the Petroleum Products Retail Outlets Owners Association of Nigeria, Billy Gillis-Harry, noted that petroleum product prices would continue to decline if landing costs maintain their downward trajectory.
The refinery’s pricing decisions carry significant weight in Nigeria’s downstream sector, where Dangote’s output has become a key reference point for marketers and distributors. Since commencing operations, the facility has progressively influenced domestic fuel economics, reducing the country’s reliance on imported refined products.
Market analysts suggest the latest cuts reflect improved crude supply dynamics and operational stability at the Lekki-based complex. Consistent production runs have allowed the refinery to optimize margins while passing savings to the distribution chain.
Retailers across major cities have begun adjusting forecourt prices in response, though the pace and extent of pass-through vary by location and logistics costs. Consumers in Lagos, Abuja, and Port Harcourt reported modest reductions at the pump within hours of the announcement.
The development comes amid broader efforts to stabilize Nigeria’s fuel supply chain following the removal of petroleum subsidies. Dangote Refinery’s capacity to meet a substantial share of domestic demand has altered the competitive landscape, compelling other market participants to align pricing structures.
Further price movements will likely hinge on global crude benchmarks, foreign exchange rates, and the refinery’s ability to sustain current throughput levels. Stakeholders across the value chain are monitoring these variables closely as the sector adjusts to a new equilibrium.
