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Nigerians may soon begin to enjoy some relief from high fuel costs following a significant reduction in petrol prices by Dangote Petroleum Refinery.
The refinery announced a N75 per litre reduction in its ex-depot, or gantry, price of Premium Motor Spirit (PMS), bringing the price down from N1,250 to N1,175 per litre effective from midnight on Monday, June 15, 2026.
The development marks the first major downward review in petrol pricing in several months and signals a possible easing of pressure on consumers who have grappled with soaring transportation and living costs amid persistently high fuel prices.
The latest adjustment effectively brings an end to the period when petrol sold above N1,300 per litre in many parts of the country, offering hope that retail prices could decline further in the coming days as marketers begin to reflect the new ex-depot rate.
Industry observers linked the reduction to developments in the international crude oil market, where prices have fallen sharply following the easing of tensions in the Middle East.
Global crude oil prices had surged beyond $120 per barrel at the height of hostilities between the United States and Iran, raising concerns about potential disruptions to global oil supplies. However, the announcement of a ceasefire and the partial reopening of the strategic Strait of Hormuz helped calm markets, triggering a significant decline in crude prices to about $83 per barrel. Dangote Refinery said the decision to lower its petrol price was influenced by the improved outlook in the global energy market and the de-escalation of geopolitical tensions.
The refinery noted that despite the reduction, it continues to process crude purchased at higher prices during the period of market uncertainty, indicating that the current adjustment reflects its commitment to ensuring that consumers benefit from favourable market conditions.
The price cut is expected to intensify competition in Nigeria’s downstream petroleum sector, particularly among fuel marketers seeking the most cost-effective supply source.
Market data showed that many filling stations were selling petrol at around N1,240 per litre before the latest adjustment. With Dangote’s ex-depot price now at N1,175 per litre, marketers sourcing products from the refinery are expected to enjoy improved margins while potentially passing some of the savings on to consumers.
Industry analysts believe the reduction could trigger a fresh round of price reviews across the country as independent marketers and major fuel distributors adjust to the new market realities.
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The development is particularly significant given the role the Dangote Refinery has increasingly played in determining fuel pricing trends since commencing large-scale supply of petroleum products to the domestic market.
Since the removal of fuel subsidies and the deregulation of the downstream sector, petrol prices have become more closely tied to international crude oil prices, exchange rate movements and logistics costs. As a result, fluctuations in global oil markets now have a more direct impact on local pump prices.
Experts say the current decline in crude prices, if sustained, could create room for additional reductions in petrol costs in the weeks ahead.
Officials familiar with market developments suggested that further price cuts remain possible should global oil prices continue to soften and exchange rate stability be maintained.
Some industry stakeholders have even projected that petrol prices could fall below N1,000 per litre in the medium term if favourable market conditions persist and crude prices remain at current levels or decline further.
For millions of Nigerians struggling with rising transportation fares and inflationary pressures, the latest reduction is expected to provide some respite.
Transport operators, businesses and households have repeatedly cited high fuel costs as a major factor driving up operating expenses and the prices of goods and services.
While consumers await corresponding reductions at filling stations nationwide, the latest move by Dangote Refinery has raised expectations that the burden of high energy costs may begin to ease after months of sustained increases.
For now, the refinery’s decision represents one of the most significant price reductions in recent months and offers a welcome break for consumers who have endured the impact of record-high petrol prices across the country.
