Dangote Refinery lowers petrol price to N1,075 per litre

The Dangote Petroleum Refinery has reduced the price of Premium Motor Spirit (PMS), commonly known as petrol, by 50 naira to 1,075 naira per litre at its gantry. This marks the fourth price cut announced by the refinery in one month, bringing the cumulative reduction since late May to over 200 naira per litre. The company said the move is intended to make the product more affordable for consumers.

In a statement issued on Thursday, July 2, the Lagos-based refinery explained that its pricing reflects the actual cost of production and inventory, not short-term fluctuations in international oil markets. The company stated it is currently processing crude oil purchased weeks or months ago at significantly higher prices. It disclosed that the average landed cost of crude processed was approximately $124.80 per barrel in May and $95.25 per barrel in June, compared to a current international benchmark of about $71.01 per barrel.

The refinery said it has absorbed a significant portion of these higher costs to support market stability and cushion consumers from global volatility. It added that as lower-priced crude enters its production cycle, it is systematically passing the benefits to...