Private Depots Cut Petrol Prices Below Dangote Refinery as Crude Oil Drops
By Aboki Forex —
Private fuel depots across Nigeria have slashed petrol prices, undercutting Dangote Refinery’s gantry rate. The move follows a sharp decline in global crude oil prices.
On Monday, May 25, depots in Lagos adjusted their prices. Ardova Petroleum now sells petrol at N1,275 per litre, matching Dangote’s gantry price. Nipco and Aiteo went lower, pricing petrol at N1,274 per litre. Their previous average was N1,280 per litre.
The reduction also hit the diesel market. In Warri, Rainoil and Danmarna cut Automotive Gas Oil (AGO) prices to N1,798 per litre, below the market benchmark.
Why Prices Are Falling
The price cuts come after global crude prices dropped. Brent crude traded at $97.62 per barrel on Monday, down 5.72%. West Texas Intermediate (WTI) stood at $91.08 per barrel, down 5.71%.
Industry experts say depot operators are reacting to lower global crude prices and expectations of cheaper imported fuel costs. The drop follows easing tensions around the Strait of Hormuz and ongoing US-Iran negotiations.
US President Donald Trump said on Saturday that the Strait of Hormuz would be reopened as part of a proposed deal. The agreement involves the United States, Iran, and several Middle Eastern countries. Trump made the announcement on Truth Social after calls with leaders from Saudi Arabia, the UAE, Qatar, Pakistan, Turkey, Egypt, Jordan, Bahrain, and Israel. He said final details were still being discussed.
Bulk buyers and filling station owners now have a choice between private depots and Dangote Refinery. The trend could push retail pump prices lower in the coming days.