The Dangote Refinery has slashed its Premium Motor Spirit (PMS) gantry price to N1,215 per litre, down from the previous rate of N1,250. This N35 reduction from Africa's largest crude processing facility marks a notable shift in the downstream petroleum sector following weeks of elevated energy costs across the country.
Market checks indicate that other depot operators like Soroman, Aiteo, and Masters currently price their products between N1,255 and N1,300 per litre. Olatide Jeremiah, Chief Executive of Petroleumprice.ng, verified the adjustment, attributing the validation of the new rate to consortium marketers during an interview.
What do petroleum marketers say about the price cut?
Reacting to the adjustment, Abubakar Maigandi, President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), welcomed the development. In a media interview, he noted that the reduction is a welcome relief for the citizens.
"It is a good thing for Nigerians," Maigandi stated regarding the refinery's pricing strategy.
How will this affect retail fuel prices?
Presently, pump prices at various filling stations nationwide fluctuate between N1,370 and N1,429 per litre. Nevertheless, industry observers anticipate that the latest gantry price adjustment will trigger a corresponding drop in retail pump prices starting Monday.
Meanwhile, global crude oil benchmarks stood at $104 per barrel for West Texas Intermediate (WTI) and $113 per barrel for Brent crude during the period under review.