The Independent Petroleum Marketers Association of Nigeria (IPMAN) has announced that petrol will now sell at ₦935 per litre nationwide, starting Monday, following a new arrangement with the Dangote Petroleum Refinery.

According to IPMAN’s National President, Maigandi Garima, the Dangote Refinery has adjusted its ex-depot price to ₦899.50 per litre, allowing marketers to sell at a uniform price of ₦935 per litre after factoring in logistics costs of ₦36 per litre.

“Dangote refinery has introduced a new pricing and loading arrangement to ensure uniform pricing across the country. Previously, the loading price was ₦970 per litre, but this reduction will enable Nigerians to enjoy a more affordable rate,” Garima stated.

Increased Supply and Competition

Over 30,000 IPMAN members are prepared to commence petrol loading from the Dangote Petroleum Refinery and the Port Harcourt Refining Company following the price reduction. The development coincides with a price drop observed on Sunday, with petrol selling between ₦950 and ₦980 per litre at some Lagos filling stations.

The price adjustment follows competitive moves in the downstream sector, including a 12% reduction in petrol prices by the Nigerian National Petroleum Company Limited (NNPCL) on Saturday. The price war between NNPCL and Dangote has introduced greater pricing competition, benefiting consumers.

Deregulation Benefits

Chinedu Ukadike, IPMAN’s National Publicity Officer, described the competition as a positive outcome of a deregulated oil sector, explaining that it reveals the true cost of petrol production and logistics.

“This pricing competition is advantageous for Nigerians. As multiple suppliers compete, the price will stabilize and likely decrease further,” Ukadike said.

He added that marketers would purchase products from both Dangote and NNPCL refineries based on proximity to retail outlets to optimize logistics.

PETROAN Collaboration

The Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) also confirmed that its members are registering with MRS filling stations to lift Dangote petrol at ₦935 per litre. PETROAN President Billy Gillis-Harry highlighted that the collaboration aims to accelerate price reduction implementation across retail outlets.

Gillis-Harry emphasized, “As Dangote reduces prices and NNPCL follows suit, we are ensuring our members provide petrol at competitive rates nationwide.”

Dangote Refinery Update

Meanwhile, the Dangote Refinery has increased its operations to 85% capacity, processing 550,000 barrels per day (bpd) and is on track to deliver European-standard products by January, according to Edwin Devakumar, the refinery’s executive director.

The refinery’s operational progress and pricing adjustments are expected to improve supply and stabilize petrol prices as Nigeria transitions into the new year.