Lagos, Nigeria – Dangote Petroleum Refinery has reduced its ex-depot price for Premium Motor Spirit, commonly known as petrol, by N100, with the refinery now selling at N1,075 per litre. The reduction from N1,175 marks the first downward adjustment after several increases recorded in recent days.
Okay News reports that according to the refinery’s latest pricing template released on Tuesday, the gantry price of petrol has been cut by N100, representing an 8.5 percent reduction from Monday’s price.
In addition, the gantry price of Automotive Gas Oil, commonly known as diesel, has been reduced to N1,430 per litre, a N190 drop from the earlier price of N1,620.
The price cut follows a period of sharp increases, with the refinery having raised the price to N1,175 on Monday, marking the third upward adjustment within a week.
The recent hikes came after the refinery suspended petrol loading operations and restricted truck-out activities, fueling speculation about imminent price adjustments.
With the new price of N1,075, marketers will still be selling above N1,100 per litre at filling stations after adding logistics costs and profit margins.
Oil marketers have noted that the pump price could have risen as high as N1,500 per litre by now if Nigeria had not improved domestic refining capacity and was still importing most of its petroleum products.
The Petroleum Products Retail Outlets Owners Association of Nigeria had warned that the pump price of petrol may hit N2,000 per litre amid ongoing Middle East tension.
This petrol price reduction brings some relief after several days of increases driven by global crude volatility and exchange rate pressure.
