The Dangote Petroleum Refinery has reduced the gantry price of its Premium Motor Spirit, PMS, also known as petrol, to N828 per litre from N877 per litre, indicating a decrease of 5.6 percent.

The move comes despite the increase in crude oil prices to an average of $64 per barrel, yesterday from $62 per barrel the previous day.

Checks showed that the drop in prices was attributed to a just-strengthened crude supply arrangement between Dangote Refinery and NNPC Limited under the naira-for-crude framework.

The checks showed that NNPC Ltd will supply the 650,000-barrels-per-day refinery with five December-loading crude shipments, including Amenam, Bonny Light, Forcados, and Qua Iboe.

Also, the Petroleumprice.ng, stated: “The price adjustment is expected to bring some relief to fuel marketers and consumers nationwide, following weeks of elevated pump prices. Depot operators in Lagos confirmed that loading at the new price commenced early Friday, with expectations of a corresponding drop at retail outlets in the coming days.”

Meanwhile, the price remains below import parity, according to the report by S&P Global Commodity Insights presented at the Major Energy Marketers Association of Nigeria (MEMAN) conference in Lagos on Thursday.

According to the report, Dangote’s gantry price stood at N877 per litre as of October 17, 2025, placing it below the average “into-tank” cost of imported fuel in Lagos and the ship-to-ship (STS) value at Lome, Togo.

It noted that the pricing gap underscores Dangote’s cost advantage in the domestic market, even as international crude prices fluctuate amid sanctions on Russian oil producers and weak global demand.

The report also indicates that the nation’s fuel imports have fallen below 200,000 barrels per day, from approximately 500,000 b/d in early 2023.

However, S&P Global warned that strong regulatory oversight remains crucial to ensure market transparency, fair competition, and consumer protection in a liberalized environment. (Vanguard)