Fuel prices may drop Nationwide as imported Petrol undercuts Dangote Refinery price

Petroleum products marketers say petrol prices may fall across Nigeria in the coming days following a shift in price parity between imported fuel and supplies from the Dangote Refinery.

The President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Abubakar Maigandi, disclosed this on Monday, citing recent market data and competitive pressures.

Figures from the Major Energies Marketers Association of Nigeria (MEMAN) show that imported petrol is now about ₦77 per litre cheaper than Dangote Refinery’s gantry price of ₦799 per litre, a development that has renewed debate within the downstream sector.

Despite this, Dangote Refinery last week urged marketers to boycott coastal-imported petrol, arguing that it was about ₦75 per litre more expensive than locally refined products. The conflicting claims have placed marketers in a fresh pricing dilemma.

Across major cities, retail pump prices remain uneven. In Abuja, petrol was selling between ₦839 and ₦905 per litre as of Monday, meanwhile, some filling stations in Lagos had reduced prices to as low as ₦817 per litre—below the ₦839 per litre sold at Dangote-backed MRS stations.

The Lagos price cuts have raised expectations that the reductions could spread nationwide. Maigandi said prevailing market conditions and improved competition could support further price adjustments.

According to him, about 80 percent of IPMAN members currently source petrol directly from the Dangote Refinery, with pricing influenced largely by volume purchases and transportation costs.

He explained that marketers buying more than two million litres receive discounts of about ₦20 per litre, while those purchasing five million litres or more enjoy discounts of up to ₦25 per litre. He added that logistics costs account for price differences between regions such as Lagos and Abuja.

Maigandi noted that increased competition—through additional refineries and sustained imports—would likely exert downward pressure on prices. “Once more refineries come on stream and imports continue, prices will drop again,” he said.

Recall that Dangote Refinery raised its gantry price from ₦699 to ₦799 per litre in January, triggering a nationwide increase in pump prices. Although refinery owner Aliko Dangote had earlier pledged to push prices down to ₦739 per litre, this target has yet to reflect at most filling stations.

Meanwhile, global oil prices remained relatively stable on Monday evening, with West Texas Intermediate trading at $64.36 per barrel and Brent crude at $69.15 per barrel.