Dangote Petroleum Refinery & Petrochemicals has reduced its gantry price of diesel by N200 as importers reportedly receive new shipments.
The refinery cut the price from N1,800 per litre to N1,600 on Wednesday, according to Platts, an independent provider of information and benchmark prices for the commodities and energy markets.
Confirming the reduction, Joseph Obele, the national public relations officer of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), said the diesel price was reduced on May 26.
The development comes amid a legal dispute on import licences issued or renewed by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to fuel marketers and NNPC.
Obele said that the latest price cut is widely seen as a positive impact of increased competition in the downstream petroleum sector.
“Dangote Refinery recently took legal action after NMDPRA granted five import licences to marketers for the importation of petroleum products,” the PRO said.
“Over the weekend, several of the vessels reportedly arrived, and the refinery reduced the price of AGO commonly known as diesel, by N200. The reduction is from N1,800 to N1,600.”
The downward adjustment also comes amid a drop in the global oil market, with Brent crude, the international oil benchmark, falling to $95.05 per barrel on Wednesday after closing at $98.04 per barrel a day earlier.
Oil prices have experienced sharp fluctuations since the outbreak of conflict in the Middle East on February 28, involving the United States (US), Israel, and Iran.
The crisis disrupted supply routes, particularly through the Strait of Hormuz, a critical channel for global oil shipments, which remained closed for weeks due to the conflict.
A temporary ceasefire agreement had led to Iran declaring the Strait of Hormuz open to commercial traffic, triggering a drop in oil prices by about 9 percent to $89.84 per barrel.
However, the decision was reversed less than 24 hours later.
Although the United Arab Emirates (UAE), on April 28, announced its decision to exit the Organisation of the Petroleum Exporting Countries (OPEC) and the broader OPEC+ alliance after nearly 60 years of membership, the Middle East conflict remains a critical factor in the global oil market stability as peace talks continue between the US and Iran.
On May 25, US President Donald Trump, in a Truth Social post, said “the negotiations are proceeding in an orderly and constructive manner”.
He said both sides must take their time and get it right.
