Dangote Refinery Crashes Petrol Prices Again as Importers Count Losses
- The Dangote Refinery has reduced the petrol price again to N815 at its loading gantry from N825 per litre
- This is the second time in two weeks that the Refinery will be lowering petrol prices after crashing it to N825 from N890
- The development came as the petrol landing cost was reduced to N744.72, N50 less than the Dangote Refinery
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
On Thursday, March 13, 2025, the Dangote Refinery escalated the petrol price war by quietly lowering the PMS price at its loading gantry.
The giant refinery crashed petrol prices from N825 per litre to N815.
Source: UGC
Dangote Refinery crashes petrol price by N10
The development came as the plant introduced a new pricing structure on Thursday, March 13, 2025.
According to reports, marketers expressed optimism at the new price as they have begun to boycott private depots and start sourcing products directly from the Dangote Refinery.
The N10 reduction is also expected to cause private depot owners to adjust their prices to maintain market balance.
Imported petrol prices are cheaper than Dangote fuel
A previous report by Legit.ng disclosed that petrol landing costs dropped to N744.72 per litre, with marketers predicting a further price crash of N800 per litre.
Punch reports that the new landing cost is N50.28 less than the former rate of N825 per litre, which Dangote Refinery sells its products.
The new petrol landing cost ignited another price war between Dangote Refinery and oil marketers as importers reportedly moved to dump the refinery for imported products.
The national publicity secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Ukadike, said crude oil price is a key determinant of petrol pricing.
Marketers predict new petrol prices
He revealed the possibility of petrol dropping to N800 per litre.
Experts said the latest price crash by Dangote Refinery is another attempt to control the market.
According to them, the latest price reduction by the refinery will increase the cost to N825 per litre when added to the N10 levy charged by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
Following the price reduction, private depot owners have also crashed their loading prices to N825 per litre from N830.
Marketers lower depot prices
Findings showed that private depots have implemented a price change to match Dangote Refinery's price.
Marketers such as AA Rano adjusted their loading price to N830 per litre, MENJ depot also crashed petrol prices to N830, BOVAS reduced its price to N826, while WOSBAB sells its petrol at N831.
Others are AITEO at N827 from N832, and RAINOIL also crashed its petrol to N831 per litre.
Dangote Refinery counts losses
A previous report by Legit.ng disclosed that the Dangote Refinery is projected to have lost about N32.5 billion due to the recent petrol price crash from the 500 million litres of PMS stock at the plant's gantry.
Before announcing the price slash, the Chairman of the Dangote Group, Aliko Dangote, disclosed that the mega facility had over 500 million litres of petrol in stock.
Dangote Refinery’s PMS price crash leads to losses
The explanation came when the facility sold petrol at N890 per litre.
According to reports, the 500 million litres of PMS will amount to N445 billion at the old rate of N890 per litre.
The refinery announced in February that it had crashed the ex-depot petrol price to N825 per litre from N890, resulting in a pump price of N860, meaning an N65 price difference.
The giant refinery said it has consistently reduced PMS prices and other petroleum products to benefit Nigerians.
Source: UGC
It said the recent crash is the second in February 2025, due to a fall in crude oil prices.
Petroleum product marketers kick against monopoly
Legit.ng earlier reported that Petroleum Product Retail Outlets Owners Association of Nigeria (PETROAN) has committed to promoting competitiveness and controlling price volatility in the downstream petroleum sector.
The development comes amid wide consultations with critical stakeholders such as the Major Energy Marketers Association of Nigeria (MEMAN), Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) and PETROAN.
The association stressed the need to establish frameworks encouraging price stability for about six months.
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Proofreading by James Ojo, copy editor at Legit.ng.
Source: Legit.ng
Pascal Oparada (Business editor) For over a decade, Pascal Oparada has reported on tech, energy, stocks, investment, and the economy. He has worked in many media organizations such as Daily Independent, TheNiche newspaper, and the Nigerian Xpress. He is a 2018 PwC Media Excellence Award winner. Email:pascal.oparada@corp.legit.ng
James Ojo (Copyeditor) James Ojo is a copy editor at Legit.ng. He is an award-winning journalist with a speciality in investigative journalism. He is a fellow of Nigeria Health Watch Prevent Epidemics Journalism Fellowship (2023), WSCIJ Collaborative Media Project (2022), ICIR Health Reporting (2022), YouthHubAfrica’s Basic Education Media Fellowship (2022), Countering the Fake News Epidemic (MacArthur Foundation) 2021, and Tiger Eye Foundation Fellowship. Email: james.ojo@corp.legit.ng
