Depot Owners Undercut Dangote Refinery As Petrol Prices Drop Below N1,178
By Aboki Forex —
Depot owners have slashed petrol prices below Dangote Refinery rates as competition heats up in the downstream sector. Premium Motor Spirit (PMS) now sells between N1,175 and N1,178 per litre at major depots. Diesel trades around N1,600 to N1,601 per litre.
Weaker global crude oil prices and rising competition are driving the reductions. Several depot owners have matched or are selling petrol below the rates offered by Dangote Petroleum Refinery.
On Tuesday, June 16, Dangote reduced its ex-gantry petrol price to N1,175 per litre. That was a N75 drop from N1,250 per litre, following recent declines in international crude oil prices.
Data from Petroleumprice.ng on Wednesday showed that several depots responded and adjusted ex-depot prices downward. They undercut rates sold at Dangote Refinery to stay competitive.
For PMS, Dangote traded at N1,178 per litre. Aiteo reduced its price further to N1,175 per litre. Rain Oil, A.A. Rano, Bono, Integrated, Ascon and African Terminal were quoted at N1,177 per litre.
A similar trend played out in the diesel market. Automotive Gas Oil (AGO) supplied through Dangote channels was priced at N1,601 per litre. Rain Oil, A.A. Rano, Wosbab, Emadeb, Menj, Sahara, African Terminal and Bono sold at lower rates.