Depot petrol prices drop to N1,166 as Dangote, Pinnacle lead cheaper supply

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Dangote Refinery and Pinnacle are selling petrol at N1,166 per litre, the lowest depot price on the latest list. Petrol prices across the listed depots now range between N1,166 and N1,182 per litre.

The new depot prices come as marketers continue to monitor supply conditions in Nigeria's downstream petroleum market. Dangote's latest depot price is down from N1,215 previously, making it the cheapest source on the list.

How depots compare

Dangote and Pinnacle are tied at N1,166 per litre. MRS follows at N1,172 per litre, while A.A Rano, AIPEC, Aiteo, Ardova, NIPCO, A.Y.M Shafa, Matrix and Optima are listed at N1,175 per litre.

NEPAL's PMS price stands at N1,177 per litre. Soroman is at N1,178 per litre. African Terminal, Integrated and Wosbab recorded N1,179 per litre, while Mainland and NIPCO are listed at N1,180 per litre.

Liquid Bulk and Matrix recorded the highest price on the list at N1,182 per litre. That puts the gap between the cheapest and most expensive depot prices at N16 per litre.

What this means for pump prices

Depot prices are a major part of the cost structure for petrol marketers, but changes at depot level do not always translate immediately to filling stations. Retail prices also depend on transportation, logistics, operating expenses, location and marketers' margins.

Still, the N16 gap gives marketers sourcing from lower-priced depots some room to adjust pump prices. In a related move, Dangote Petroleum Refinery has begun delivering petrol directly to fuel marketers in six states at no delivery cost. The first phase covers Lagos, Ogun, Rivers, Kaduna, Delta and the Federal Capital Territory, Abuja, with more states to be added as the programme rolls out.

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