Private petroleum depot owners in Lagos have slashed the ex-depot price of Premium Motor Spirit (PMS) by approximately ₦118 per litre, a roughly 14% reduction in direct response to competitive pressure from Dangote Petroleum Refinery.
Market checks conducted on December 15, 2025, revealed that major private depots adjusted their PMS prices downward to ₦710 per litre, compared to an average of ₦828 per litre recorded just a week earlier on December 8.Key adjustments by specific depots include:
Menj Depot: ₦828 > ₦710 per litre
Integrated Depot: ₦826 > ₦710 per litre
Bovas Depot: ₦826 > ₦710 per litre
A.A. Rano Depot: ₦829 > ₦710 per litre
The price drop was triggered by marketers linked to Dangote Refinery offering petrol at around ₦703 per litre. A depot operator explained: “The Lagos market reacts faster because Dangote’s prices are cheaper here. Once Dangote marketers began selling around ₦703 per litre, it became difficult to move volumes at higher prices.”
Initially, private depots attempted to maintain prices close to ₦800 per litre, but sluggish off-take and the risk of inventory accumulation compelled them to align with the lower market rates set by Dangote.
Industry sources indicate that sustained supply and aggressive pricing from Dangote could drive further reductions, particularly during the festive season, heightening competition across the downstream sector and potentially benefiting consumers with lower pump prices.
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