Dangote, Rain Oil, Others Slash Petrol Prices

Petrol depot prices fell across major supply centres on Tuesday as marketers introduced fresh price reductions, with some operators cutting rates by as much as N23 per litre in response to growing competition in the downstream petroleum sector.

A review of the latest midday depot pricing showed that major depots in Lagos, Warri, Calabar and Port Harcourt either lowered their prices or retained previous rates. No depot recorded any increase in the cost of petrol.

In Lagos, Dangote Petroleum Refinery maintained its ex-depot price at N1,216 per litre, keeping it among the most competitive rates in the market. Pinnacle reduced its price by N2 to N1,216 per litre, matching Dangote’s rate.

MRS also reduced its price by N2 to N1,222 per litre, while Emadeb cut its rate by N7 to N1,218 per litre. Other marketers, including Aiteo, Nipco, Ascon, Shema and T-Time, left their prices unchanged, with rates ranging between N1,218 and N1,220 per litre.

The latest adjustments come as competition continues to grow following increased local supply from Dangote Refinery alongside sustained product imports by independent marketers and other operators.

In Warri, several depots also revised their prices downward. Bulk Strategic, Liquid Bulk, Masters, Matrix and Sigmund all adjusted their depot rates to around N1,245 per litre.

Rain Oil recorded one of the biggest reductions after lowering its price by N23 to N1,245 per litre. Matrix reduced its rate by N10 to the same level, while TSL also cut its price by N6 to N1,244 per litre.

Calabar also witnessed price reductions. Northwest lowered its depot price by N15 to N1,235 per litre, while Mainland reduced its rate by N10 to N1,240 per litre. Hong Petroleum offered the lowest price in the area after reducing its rate by N2 to N1,233 per litre.

In Port Harcourt, Matrix trimmed its petrol price by N3 to N1,243 per litre, while Optima reduced its rate by N2 to N1,243 per litre. Rain Oil equally lowered its price by N23 to N1,245 per litre.

Industry observers believe the widespread reductions are being driven by better product availability and stronger competition among marketers seeking to attract wholesale buyers.

The gap between depot prices has also narrowed, with Lagos recording rates of N1,216 per litre compared with about N1,245 per litre in other major supply locations, suggesting that prices are becoming more uniform across the country.

Despite the lower depot prices, retail pump prices may not immediately reflect the changes because transportation costs, operating expenses and marketers’ margins still influence the final price paid by consumers.

Diesel prices also recorded declines in several locations. In Lagos, Matrix reduced the price of Automotive Gas Oil by N55 to N1,645 per litre, while Aiteo lowered its rate by N15 to N1,630 per litre.

In Warri, Matrix cut diesel prices by N70 to N1,650 per litre, while A.Y.M Shafa also reduced its price by N40 to N1,650 per litre.

The latest price movements suggest that increased supply and stronger competition are continuing to influence pricing trends in Nigeria’s downstream petroleum market.