Motorists and fuel marketers may soon enjoy lower pump prices after Dangote Petroleum Refinery announced a fresh reduction in the gantry price of Premium Motor Spirit (PMS), popularly known as petrol.
The refinery cut its ex-depot price by N75 per litre, reducing the rate from N1,250 to N1,175 per litre, following easing tensions in the Middle East that had driven up global energy prices over the past three months.
In a circular issued to marketers on Monday, the refinery attributed the price adjustment to the de-escalation of hostilities in the region, which has begun to calm the international oil market.
“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 and coastal prices,” the company stated.
Under the revised pricing structure, the coastal price per metric tonne was also reduced from N1,595,790 to N1,495,215. The refinery said the new rates became effective from midnight on June 16, 2026.
It further announced that all outstanding unloaded gantry volumes would be repriced at the new rate.
“We sincerely appreciate your continued patronage and assure you of our unwavering commitment to reliable product supply and excellent service delivery,” the statement added.
According to Petroleumprice.ng, Dangote Refinery now offers the lowest petrol price among major suppliers, with many marketers selling the product at around N1,240 per litre before the latest reduction.
The price cut comes amid renewed optimism in the global oil market following diplomatic progress between the United States and Iran over the reopening of the Strait of Hormuz, a critical shipping route for crude oil.
Crude prices had surged after tensions between both countries escalated on February 28, pushing oil above $120 per barrel and causing fuel prices to soar worldwide.
In Nigeria, petrol prices climbed sharply from about N830 per litre to nearly N1,300 per litre during the three-month crisis. Diesel and aviation fuel prices also recorded significant increases during the period.
Global crude prices have continued to decline following the announcement of a ceasefire agreement between the United States and Iran aimed at ending hostilities and reopening the Strait of Hormuz.
Brent crude, the international oil benchmark, which traded at about $83 per barrel on Monday, has since come under pressure as markets reacted positively to the peace deal.
The agreement, announced by US President Donald Trump, has fuelled expectations of further reductions in fuel prices across Nigeria.
Industry observers say petrol prices could fall to around N900 per litre in the coming weeks if peace in the Middle East holds and crude prices continue their downward trajectory.
However, a senior official at Dangote Petroleum Refinery cautioned that immediate reductions may be limited because the refinery still has stocks of higher-priced crude purchased during the period of heightened tensions.
Despite this, Nigerians are hopeful that the latest price cut signals the beginning of more relief at filling stations after months of soaring energy costs.
With global oil prices retreating and supply concerns easing, consumers and businesses are watching closely for further reductions that could help lower transportation costs and ease inflationary pressures across the country.
