Marketers Move to Sell Cheaper Fuel than Dangote as Refinery Prices Hit N1,028 Per Litre

Oil marketers announced on Friday that Premium Motor Spirit (PMS), or petrol, from the Dangote Petroleum Refinery is priced between N1,015 and N1,028 per litre, depending on purchase quantity.

In response, marketers are preparing to import petrol and sell it below Dangote’s refinery prices and those of the Nigerian National Petroleum Company Limited (NNPCL).

Data from the Major Oil Marketers Association of Nigeria reveals that as of October 31, 2024, the landing cost of petrol stood at N978.01 per litre. Diesel and aviation fuel also reflected high landing costs of N1,069.97 and N1,119.67 per litre, respectively, indicating the increasing cost burden on consumers.

While Dangote Refinery has yet to publicly disclose its pricing structure, an anonymous source confirmed to The PUNCH that bulk sales are offered at N1,015 per litre, while smaller quantities cost N1,028 per litre. The lack of transparency and higher local prices have spurred oil marketers to consider alternative sources, with imported PMS reportedly costing less than Dangote’s rates.

Recent shipments of petroleum products have already arrived at Nigerian ports, with marketers suggesting that Dangote is discouraging the government-permitted imports to favor its own supply chain. As the fuel market intensifies, Nigerians may soon see a wider range of pricing options, potentially alleviating high fuel costs.