By Abigail David
Dangote Petroleum Refinery has reduced the gantry price of Premium Motor Spirit (PMS), commonly known as petrol, by N75 per litre, citing easing tensions in the Middle East and declining global energy prices.
In a circular issued to fuel marketers on Monday, the refinery announced that the new gantry price had been lowered from N1,250 to N1,175 per litre, while the coastal price per metric tonne was reduced from N1,595,790 to N1,495,215.
The refinery said the revised prices would take effect from midnight and that all outstanding unloaded gantry volumes would be repriced accordingly.
According to the company, the adjustment followed the de-escalation of geopolitical tensions in the Middle East, which had driven up crude oil and fuel prices over the past three months.
“We have reviewed our premium motor spirit gantry and coastal prices following the de-escalation of tensions in the Middle East, which has impacted energy prices,” the refinery stated.
Market data from Petroleumprice.ng indicated that Dangote Refinery’s petrol is now among the cheapest available to marketers, with many outlets previously selling the product at around N1,240 per litre.
The price cut comes as global oil prices decline amid reports of a ceasefire agreement and renewed diplomatic efforts between the United States and Iran, raising hopes for the full reopening of the Strait of Hormuz, a critical global oil shipping route.
Crude oil prices had surged during months of regional tensions, pushing domestic fuel prices higher. In Nigeria, petrol prices climbed from about N830 per litre to around N1,300 per litre, while diesel and aviation fuel also recorded significant increases.
With crude prices retreating, industry observers expect further reductions in domestic fuel prices, although refinery officials have noted that existing stocks of higher-priced crude could moderate the pace of future price cuts.
