Imported Petrol Prices Drop Below Dangote's Rate in Nigeria

The landing cost of imported petrol in Nigeria has decreased to approximately N1,304 per litre, which is N21 cheaper than the price set by Dangote Refinery at N1,325 per litre. This reduction in cost comes amid ongoing competition between imported petroleum products and domestic supplies, influencing the pricing landscape in the downstream market.

Additionally, imported Automotive Gas Oil landed at about N1,839 per litre, which is N11 less than Dangote Refinery's price of N1,850 per litre. Conversely, aviation fuel's landing cost is higher at approximately N1,745.91 per litre, exceeding the N1,591 per litre from the Lekki-based refinery.

The price dynamics are further complicated by a legal dispute where Dangote Refinery challenged the issuance of import licenses by the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA). A court ruling allowed marketers to continue importing, which could exert downward pressure on prices.

Energy policy analyst Adeola Yusuf cautioned that rising international crude oil prices could reverse the current advantages of lower landing costs.