The Dangote Refinery has reduced the ex-gantry price of Premium Motor Spirit (PMS) by N75, bringing the cost down to N1,200 per liter.
Industry sources confirmed the adjustment on Wednesday, noting that it follows a recent increase that pushed petrol prices to about N1,275 per liter. The earlier hike was attributed to volatility in the global oil market, which raised production and supply costs.
The latest price cut is linked to a notable decline in international crude oil prices. Brent crude futures dropped to $95.05 per barrel, marking a 13 per cent decrease, while West Texas Intermediate (WTI) crude settled at $97.18, down by nearly 14 per cent.
Analysts attribute the fall in oil prices to shifting geopolitical dynamics in the Middle East, particularly a temporary ceasefire understanding between the United States and Iran, which has eased concerns over potential supply disruptions.
Fuel marketers and commuters across major cities have welcomed the development, expressing optimism that the reduction will help cushion the impact of rising living costs amid persistent inflation.
Energy experts say the refinery’s move could influence pump prices nationwide, especially if the downward trend in global crude oil prices is sustained.
They also note that the development underscores Nigeria’s growing exposure to international oil price fluctuations, despite gains in local refining capacity.
The Dangote Refinery, which began operations in 2023, was expected to significantly reduce the country’s reliance on imported fuel. However, its pricing continues to reflect global oil benchmarks such as Brent and WTI crude.
