The Dangote Petroleum Refinery has reduced the gantry price of Premium Motor Spirit, popularly known as petrol, by N75 per litre. In a circular distributed to fuel marketers on Monday, the management of the refinery explained that the downward price adjustment followed the de-escalation of geopolitical tensions in the Middle East, an occurrence that had heavily affected global energy prices over the last three months.
According to the official communication released by the company, the new pricing template places the gantry price at N1,175 per litre, down from the previous rate of N1,250 per litre. Similarly, the coastal price per metric tonne has been lowered from N1,595,790 to N1,495,215. The refinery management disclosed that the revised rates would become effective starting from midnight. In the circular, the firm stated, “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 company also provided directions regarding existing orders that have not yet been cleared from the facility. The document noted, “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,” Market data tracking from the downstream pricing portal Petroleumprice.ng indicates that the Dangote facility now provides the most affordable petrol in the country, noting that numerous independent marketers were retailing the product for about N1,240 on Monday.
This latest financial adjustment coincides with a cooling period within the global oil market after reports emerged of active negotiations between the United States and Iran regarding the potential reopening of the critical Strait of Hormuz. International crude oil prices, which had experienced an upward surge, dropped to approximately 83 dollars per barrel on Monday following an announcement by United States President Donald Trump regarding the formal signing of a diplomatic peace accord.
Crude oil, which serves as the essential feedstock for domestic fuel refining, had experienced consecutive price shocks since the outbreak of armed hostilities between the United States and Iran on February 28. Throughout the three-month conflict, global crude benchmarks soared past 120 dollars per barrel, which subsequently forced domestic petroleum prices upward. Within Nigeria, retail petrol prices spiked from approximately N830 per litre to around N1,300 per litre during the volatile window, while the prices of diesel and aviation fuel similarly recorded sharp increases.
With global crude benchmarks currently undergoing a retreat, the proactive price review by the Dangote refinery is projected to deliver subsequent relief across domestic retail networks. Reports show that global oil markets maintained a downward trajectory on Monday following the successful execution of a ceasefire treaty between the United States and Iran aimed at halting Middle Eastern hostilities and fully reopening maritime shipping routes. Data from Oilprice.com revealed that Brent crude, the international pricing benchmark, dropped from 83 dollars per barrel on Monday.
Both the United States and Iranian governments confirmed on Sunday that they had successfully negotiated an end to the conflict, a factor that further accelerated the decline in global oil values. Earlier market projections suggested that domestic petrol prices could potentially slide to as low as N900 per litre in the coming days if the diplomatic agreement between the two nations fully materialized. Following Trump's confirmation of the signed peace deal and the progressive reopening of the Strait of Hormuz, global energy prices crashed further, spiking widespread industry expectations of additional pump price drops across Nigeria once the regional situation stabilizes entirely. While citizens anticipate further drops in retail fuel costs, an official from the Dangote Petroleum Refinery noted that while prices could eventually hit N900 per litre, the facility is currently managing a remaining stock of expensive crude within its storage tanks.
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