The Dangote Petroleum Refinery has lowered the ex-gantry value of Premium Motor Spirit (petrol) to N1,200 per litre. The transfer comes after a noticeable drop in world crude oil costs.
The adjustment reverses an earlier enhance that had pushed the worth to round N1,275 per litre.
This newest value lower displays a N75 discount. It follows adjustments within the worldwide oil market, the place costs have just lately declined on account of easing geopolitical tensions.
The refinery had earlier raised costs in response to provide considerations and rising crude oil benchmarks.
A senior official on the refinery confirmed the event on Tuesday evening. The supply defined that pricing selections are intently tied to world market circumstances.
In keeping with the official, “The adjustment is in step with world market traits. You might be conscious of the continuing tensions within the Center East and their influence on crude oil costs. These are exterior elements that immediately affect refined product pricing.”
The official had earlier disclosed that petrol was elevated to N1,275 per litre, whereas diesel rose extra sharply.
He stated, “Petrol has been reviewed upward by N75 to N1,275 per litre, which is a few 5 per cent enhance, whereas diesel has elevated extra considerably by N200 to N1,950 per litre. These adjustments replicate the realities of the worldwide market.”
Nonetheless, in a contemporary replace on Wednesday morning, the identical supply confirmed that the refinery has now reversed the rise. The choice adopted a sudden drop in crude oil costs within the world market.
The decline in oil costs was linked to easing tensions within the Center East. This got here after former United States President Donald Trump introduced a conditional two-week ceasefire association with Iran. The event lowered fears of doable provide disruptions within the area.
Following the announcement, Brent crude dropped considerably. It fell by over 13 per cent to about $94.76 per barrel. On the similar time, the US West Texas Intermediate crude additionally declined by almost 15 per cent to round $96.31 per barrel.
The drop in costs was additional supported by alerts of de-escalation. Trump indicated that the USA would droop deliberate army motion towards Iran. The situation was tied to making sure secure passage via the Strait of Hormuz, a key world oil route.
Reacting to the scenario, the refinery official stated, “Sure, the worth has been reversed. This follows the present value of crude oil.”
The refinery additionally launched an announcement to make clear its place. It denied reviews suggesting any contemporary enhance in petrol costs. As a substitute, it confirmed that costs had been adjusted downward.
“A supply on the firm confirmed that its pricing construction stays intact, with the gantry value at N1,200 per litre and the coastal value at N1,153 per litre.
“We’re sustaining our present value and haven’t carried out any new pricing for our prospects,” the assertion learn.
The corporate added that it stays targeted on making certain regular provide throughout Nigeria and neighbouring markets. It famous that stability in provide stays a precedence regardless of fluctuations in world oil costs.
Because it started operations in September 2024, the Dangote refinery has taken a central place in Nigeria’s gasoline market. Its pricing selections now affect market traits throughout the nation.