Some filling stations along the Lagos-Ibadan Expressway and in other locations in Lagos and Ogun states have reduced petrol prices to below N1,300 per litre following the price cut announced by the Dangote Petroleum Refinery on Saturday.
The PUNCH recalls that the Dangote refinery on Saturday announced a reduction in the ex-depot price of petrol, saying the move reinforced its commitment to making refined petroleum products more affordable and supporting economic activities across Nigeria.
The refinery reduced the gantry price of petrol to N1,250 per litre from N1,275 per litre, while the price of diesel was cut to N1,700 per litre from N1,800 per litre.
On Tuesday, our correspondent observed that some MRS filling stations in the Mowe/Ibafo axis of the Lagos-Ibadan Expressway, Ogun State, adjusted their pump prices to N1,286 per litre.
Similarly, NIPCO and Heyden sold petrol at N1,290 per litre on Monday, while SGR sold the product at N1,297 per litre.
However, our correspondent reports that many stations still sold petrol above N1,300 per litre. The Nigerian National Petroleum Company Limited’s retail outlets in Ibafo adjusted their pumps to N1,305 per litre, Mobil sold at N1,310 per litre, and Asharami sold at N1,320 per litre.
Dangote said the price review was part of the refinery’s continued efforts to improve supply efficiency, deepen domestic refining, and provide cost relief to consumers and businesses that depend heavily on petroleum products for transportation, power generation, and industrial operations.
It was also observed that many filling stations now sell diesel at N1,800 per litre, down from the previous N1,900 per litre.
Since commencing operations, the 650,000-barrel-per-day refinery has increasingly supplied the domestic market with refined products aimed at reducing Nigeria’s dependence on imported fuels.
An official of the Dangote refinery said the price reduction was in tandem with the recent decline in oil prices over the weekend before Monday’s rebound.
Recall that crude oil, the major feedstock for fuel production, rose from below $70 per barrel after tensions escalated between the United States and Iran on February 28. In the three months of the conflict, crude traded above $100 and climbed beyond $115 at some points, leading to a sharp rise in global fuel prices.
In Nigeria, petrol prices increased from N830 per litre to the current N1,300. Diesel and aviation fuel prices also rose sharply, with airline operators threatening to suspend operations.
Stakeholders have expressed hope that the Dangote refinery may consider further price reductions if global oil prices decline again.
However, oil prices rebounded on Monday as the United States resumed strikes on Iran despite ongoing negotiations between the two countries.
Israeli troops were also reported to have moved into Lebanon over the weekend, while the US struck targets in Iran, fuelling fears that tensions in the Middle East could escalate rather than ease.
According to Oilprice.com, Brent crude jumped by more than seven per cent, rising from $91.12 to $97.52 per barrel after Iran’s state-affiliated media reported that Tehran was cutting off diplomatic channels with Washington and moving to fully block the strategic Strait of Hormuz.
The renewed spike in crude prices has raised concerns about another round of increases in global fuel costs, with implications for energy-importing countries.
