Imported petrol now lands N2 above Dangote Refinery price as competition tightens

The landing cost of imported petrol has risen slightly above Dangote Refinery's ex-gantry price, with the gap now just N2 per litre. Imported petrol lands at about N1,167 per litre, while Dangote Refinery sells at N1,165 per litre.

This narrow margin is putting pressure on importers as local refining capacity expands and private depots cut prices to stay competitive.

Diesel and aviation fuel show wider gaps

The price advantage for locally refined products is much bigger for other fuels. Dangote Refinery sells Automotive Gas Oil, or diesel, at N1,570 per litre, while imported diesel has a landing cost of approximately N1,640.87 per litre. That is a difference of N70.87 per litre in favour of the local refinery.

Aviation fuel also shows a substantial gap. Imported aviation fuel lands at about N1,536.23 per litre, compared with N1,353.75 per litre from Dangote Refinery. Dangote has also reduced the price of liquefied petroleum gas, with its product reportedly selling at N925,000 per metric tonne.

Depots slash prices

Several private petroleum depots have reduced their petrol prices after earlier rates climbed as high as N1,200 per litre. Industry data show some depots now sell around N1,180 per litre, bringing them closer to Dangote Refinery's rate.

Among the depots recording lower prices are Soroman at N1,189 per litre, SOBAZ at N1,180, Pinnacle at N1,167, FYNEFIELD at N1,180 and Pivot at N1,180 per litre. Marketers said the exchange rate used in calculating import parity prices stood at approximately N1,362.53 to the dollar.

According to industry sources, relative stability in the naira-dollar exchange rate has contributed to the recent moderation in petrol and other petroleum product prices. Imported fuel costs are heavily influenced by foreign exchange rates, crude oil prices and international shipping expenses.

International crude oil prices have remained volatile amid renewed geopolitical tensions involving Iran and the United States and concerns surrounding the strategic Strait of Hormuz. Recent market data showed Brent crude at $88.52 per barrel, West Texas Intermediate at $82.40 and Murban crude at $89.42 per barrel.

Analysts expect uncertainty to persist in the global oil market as tensions around the Strait of Hormuz continue to threaten the stability of crude supplies and shipping routes.

What it means for Nigerian consumers

For Nigerian motorists and households, the immediate focus remains on whether falling depot and landing costs will translate into further reductions at filling stations and lower energy costs nationwide. The growing price competition between imported fuel, private depots and Dangote Refinery could reshape Nigeria's downstream petroleum market as local refining capacity continues to expand.

Legit.ng earlier reported that Dangote Refinery raised its ex-gantry petrol price by N15.50, from N1,150 to N1,181 per litre, triggering fresh upward pressure across the downstream market. That adjustment came as international crude oil prices approached $90 per barrel.