Dangote Refinery has reduced its ex-depot price for Premium Motor Spirit (PMS), also known as petrol, from N880 to N840 per litre, triggering nationwide reactions among fuel marketers and consumers alike.
The announcement, made on Monday, July 1, 2025, comes after weeks of fluctuating fuel prices and supply uncertainties, with prices reaching as high as N970 per litre in some outlets. The decision to slash prices by N40 per litre marks a reversal from the recent hike attributed to global crude oil volatility, particularly due to the now-deescalated conflict between Israel and Iran.
Confirming the development, Abubakar Maigandi, President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), told Daily Post Nigeria in an exclusive interview that marketers across the country would begin implementing the revised price as soon as new loading commences.
“It is true. Dangote Refinery reduced its petrol ex-depot price to N840 from N880 per litre on Monday. We are happy. Our members would implement the new price once they load new products,” Maigandi said.
The association has called for an emergency meeting scheduled for Tuesday, July 2, to decide on a uniform reduction in pump prices across the nation.
Until the adjustment, major filling stations in Lagos and Abuja, including MRS, AA Rano, Shafa, Mobil, and AP Ardova, had been dispensing petrol at N945 per litre, with others selling between N950 and N970, depending on logistics and location. However, with the new template from Dangote Refinery, pump prices are projected to drop below N900, offering much-needed relief to consumers.
The refinery’s pricing reversal follows a de-escalation of Middle East tensions, particularly a ceasefire announcement by U.S. President Donald Trump, which resulted in a significant decline in global crude oil prices. As of Monday evening, Brent crude had dropped to $67.81 per barrel, while West Texas Intermediate (WTI) settled at $64.97, down from their respective highs of over $79 and $70 just weeks earlier.
The global price slump directly influenced Dangote Refinery’s new pricing, given its increasing reliance on imported crude oil amid ongoing supply challenges in Nigeria. Industry experts say the move also reflects a strategic bid by the refinery to maintain competitiveness and stabilize supply to local markets.
Maigandi emphasized that the price slash signals a positive shift in the downstream market, adding that it shows Dangote Refinery’s responsiveness to macroeconomic signals.
Meanwhile, stakeholders are watching closely as IPMAN’s Tuesday meeting could formalize a new national pump price, easing inflationary pressure and restoring predictability to fuel pricing—long a contentious issue since the removal of petrol subsidies in 2023.
Energy analysts also note that this could put pressure on other fuel importers and depot operators to align their prices with Dangote’s, or risk losing market share.