Dangote Petroleum Refinery has announced a reduction in the gantry price of Premium Motor Spirit (PMS), popularly known as petrol, by N75 per litre, citing improving conditions in the global energy market following the easing of tensions in the Middle East. In a circular issued to fuel marketers on Monday, the refinery explained that the price adjustment was prompted by the recent de-escalation of geopolitical tensions that had driven up energy costs over the past three months.
"Following the de-escalation of tensions in the Middle East, which has impacted energy prices. We wish to inform you that we have reviewed our premium motor spirit gantry/coastal price,” the circular stated.
Under the revised pricing structure, the gantry price of petrol has been reduced from N1,250 per litre to N1,175 per litre. Similarly, the coastal price per metric tonne has dropped from N1,595,790 to N1,495,215. The refinery noted that the new prices would take effect from midnight.
“Kindly note that all outstanding unloaded gantry volumes will be repriced at the new rate effective 12:00 AM, June 16, 2026.
“We sincerely appreciate your continued patronage and assure you of our unwavering commitment to reliable product supply and excellent service delivery,” the circular noted.
Data from petroleumprice. ng showed that Dangote Refinery's petrol was already the most competitively priced in the market, with many marketers selling the product at about N1,240 per litre on Monday.
The latest price cut comes as global oil markets respond positively to reports of ongoing negotiations between the United States and Iran aimed at reopening the Strait of Hormuz. Oil prices, which had climbed to around $83 per barrel on Monday, have begun to retreat following the announcement of a peace agreement between the two countries.
Crude oil prices had surged significantly during the three-month conflict that began on February 28, rising above $120 per barrel and triggering sharp increases in the prices of petroleum products worldwide.
In Nigeria, petrol prices rose from approximately N830 per litre to about N1,300 per litre during the period, while diesel and aviation fuel prices also experienced substantial increases.
With crude oil prices now trending downward, industry observers expect further reductions in domestic fuel prices, providing relief to consumers and businesses alike.
Vigil360 learned that the oil prices continued to decline on Monday after the United States and Iran reached a ceasefire agreement aimed at ending hostilities and reopening the Strait of Hormuz. Oilprice.com reported that Brent crude, the international benchmark, fell from $83 per barrel on Monday.
The agreement, announced on Sunday, has strengthened expectations that fuel prices could decline further in the coming weeks.
Meanwhile, the petrol prices could fall to as low as N900 per litre if the peace accord between the United States and Iran is fully implemented and market stability is sustained.
Following US President Donald Trump's announcement of the peace deal and the partial reopening of the Strait of Hormuz, oil prices have continued to slide, fuelling speculation that additional reductions in fuel prices may be imminent if tensions in the region continue to ease.
While many Nigerians are hopeful of further price cuts, a senior official of Dangote Petroleum Refinery cautioned that any significant reduction would depend on the refinery's existing stock of higher-priced crude oil.
According to the official, petrol prices could eventually decline to N900 per litre, but the refinery still has “expensive crude” in its storage tanks, which may delay the full impact of falling global oil prices on domestic fuel costs.
