Dangote Refinery has announced a reduction in the prices of Premium Motor Spirit (PMS), popularly known as petrol, and Automotive Gas Oil (AGO), also known as diesel, in what could lead to further declines in fuel pump prices across Nigeria.
The 700,000-barrel-per-day refinery reduced its petrol gantry price from ₦1,215 per litre to ₦1,165 per litre, representing a ₦50 reduction.
The company also lowered the price of diesel from ₦1,650 per litre to ₦1,570 per litre, a reduction of ₦80 per litre.
The latest adjustment is expected to influence retail prices as marketers source products at lower costs from the refinery.
The development comes amid expectations that continued reductions in landing costs and improved domestic refining capacity could ease pressure on petroleum product prices.
Earlier, the National President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, said further declines in fuel pump prices were possible if landing costs continued to reduce.
Dangote Refinery, located in Lagos, is designed to process up to 700,000 barrels of crude oil per day and is expected to play a major role in meeting Nigeria’s domestic fuel demand while reducing dependence on imported petroleum products
