By Charles Ebi
Dangote Petroleum Refinery & Petrochemicals has reduced its gantry price for Premium Motor Spirit (petrol) to N1,200 per litre, with a coastal price set at N1,153 per litre, in a move expected to influence fuel costs across Nigeria’s downstream sector.
The adjustment was confirmed in a statement by the Dangote Group spokesperson, Anthony Chiejina, who said the price review reflects changes in the refinery’s pricing structure.
According to the company, the reduction comes amid ongoing geopolitical tensions in the Middle East, which continue to affect global oil prices.
Chiejina noted that the revised pricing template is expected to impact supply costs across the distribution chain, including depots and retail outlets.
Marketers expected to adjust pricing Industry players are likely to recalibrate their landing costs following the new gantry price, particularly those sourcing fuel locally rather than relying on imports.
The coastal price of N1,153 per litre is also expected to affect marine deliveries to depots in southern Nigeria, offering distributors an alternative supply route.
The latest adjustment follows previous price increases triggered by global tensions, which pushed petrol prices from about N840 per litre before late February to around N1,300 per litre in recent weeks.
The new reduction from about N1,275 to N1,200 per litre could lead to a slight drop in pump prices, potentially bringing them below the N1,300 mark.
Despite the price adjustment, the refinery continues to face crude oil supply constraints.
Findings indicate that the facility experienced a shortfall of about 79.53 million barrels of crude between October 2025 and mid-March 2026.
The refinery, which requires about 19.77 million barrels of crude monthly to operate at full capacity, received significantly lower volumes during the period.
Breakdown of supply figures shows: October: 4.55 million barrels November: 6.45 million barrels December: 4.30 million barrels January: 5.65 million barrels February: 4.66 million barrels March (1–15): 3.6 million barrels
A senior official at the refinery said the shortfall raises concerns about compliance with the Petroleum Industry Act, which prioritises meeting local crude demand before exports.
The source noted that the $20 billion Lekki-based refinery has struggled to secure sufficient crude supply, even as Nigeria continues to export oil through the Nigerian National Petroleum Company ,NNPC, Limited.
The Managing Director of the refinery, David Bird, recently disclosed that the facility receives only about five cargoes of crude instead of the 13 cargoes agreed under the naira-for-crude arrangement.
The development has raised concerns about the refinery’s ability to operate at optimal capacity and to sustain domestic supply.
Petrol marketers have asked the federal government to introduce temporary measures to ease rising petrol prices. The Petroleum Products Retail Outlets Owners Association of Nigeria PETROAN, said higher fuel costs are increasing transport fares and the cost of goods. The group also called for food subsidies and the adoption of alternative energy sources like CNG.
The association acknowledged that global crude oil price fluctuations and market realities influence domestic fuel pricing. However, it stressed the need for immediate measures to ease the burden on citizens.
However, despite a notable decline in global crude oil prices, the price of petrol remains stubbornly high across Nigeria.
Crude oil prices have fallen from $130 per barrel to around $100 per barrel, yet consumers continue to face petrol prices that exceed N1,300 per litre.
This price stagnation has raised questions about the reasons for the persistent high costs, particularly given that the global market is experiencing a decline in crude oil prices.
The drop in crude oil prices can be attributed to the diplomatic negotiations between the US and Iran, which have raised hopes for the return of Iranian oil into Asian markets.
Despite these developments, investigations have revealed that oil marketers in major cities like Lagos and Abuja have not adjusted their pump prices in response to the global changes.
In Lagos, petrol stations like MRS continue to sell petrol at N1,333 per litre, while depot prices remain marginally lower, with operators like Alkanes and Bovas selling at N1,270 per litre.
Similarly, in Abuja, stations like NIPCO and AYM Shafa maintain prices as high as N1,371 per litre, showing no signs of lowering prices despite the global crude oil price drop.
This continued high petrol pricing has had a cascading effect on other sectors of the economy, particularly transport.
With petrol prices remaining high, transport operators have passed on the increased cost of fuel to commuters, resulting in fare hikes of up to 50%.
For many Nigerians, this has become an unbearable burden, particularly as inflation continues to rise, but salaries remain stagnant.
