Dangote Slashes Petrol Price by N25 as Global Oil Market Cools

By Taibat Ummi Yakubu

Motorists and fuel marketers may be heading into a period of relief after the Dangote Petroleum Refinery announced a reduction in the price of Premium Motor Spirit (PMS), cutting its ex-depot rate by N25 per litre amid a decline in global crude oil prices.

The new price, which took effect on Monday, September 21, 2026, lowers the refinery’s petrol benchmark from N1,350 to N1,325 per litre. The adjustment partially reverses the increase introduced earlier this month when the refinery raised its price from N1,265 to N1,350 per litre in response to rising crude oil costs in the international market.

The latest reduction follows a drop of more than three per cent in global oil prices, a development that has begun to influence petroleum pricing decisions across the downstream sector. Market data showed Brent crude, the international benchmark, trading at about $100.40 per barrel, while West Texas Intermediate (WTI) hovered around $92.40 per barrel after both recorded losses during the most recent trading session.

Industry observers attribute the easing in crude prices to renewed optimism over possible diplomatic engagement between the United States and Iran. The prospect of improved relations between the two countries has helped calm concerns over global oil supply, reducing some of the upward pressure that had driven prices higher in recent weeks.

Advertisement

The reduction by Africa’s largest refinery is already reshaping pricing trends across Nigeria’s fuel distribution network. Data monitored from petroleum depots revealed that several coastal facilities have adjusted their rates in response to changing market conditions.

In Warri and Port Harcourt, a number of depots were reported to be selling petrol at N1,330 per litre, while some facilities in Calabar quoted prices around N1,327 per litre. These rates now sit only slightly above Dangote Refinery’s revised benchmark.

However, not all depots have followed the downward trend. In Lagos, major depots including Integrated and Ascon were reported to be selling petrol at N1,351 per litre, leaving them above the new Dangote price and highlighting the varying pricing strategies currently playing out across the market.

The latest adjustment underscores the growing influence of the Dangote Refinery on Nigeria’s petroleum supply chain, with its pricing decisions increasingly serving as a reference point for marketers, depot owners and fuel distributors nationwide.

Analysts say developments in the global oil market, competition among local refiners, exchange rate movements and domestic supply dynamics will continue to shape fuel prices in the coming weeks. As a result, consumers and industry players are expected to closely monitor future crude oil trends for signs of further increases or reductions.

For now, the N25 cut offers a modest reprieve in a market that has experienced significant price volatility, raising hopes that sustained declines in crude oil prices could eventually translate into lower fuel costs for consumers across the country.