DANGOTE, MARKETERS CUT PETROL PRICES AS CRUDE FALLS

The Dangote Petroleum Refinery and other petroleum marketers have reduced the prices of Premium Motor Spirit, commonly known as petrol, across major depots in Lagos, Port Harcourt, Calabar and Warri.

The reductions followed a decline in international crude oil prices, with the latest depot price report showing the biggest adjustments in Lagos.

In Lagos, several operators reduced their petrol prices by between N20 and N25 per litre as Brent crude fell below $100 per barrel.

The Dangote Refinery cut its PMS price from N1,350 to N1,325 per litre, representing a N25 reduction.

Ascon, Integrated, Pinnacle and Sahara also reduced their prices by N24, with petrol selling between N1,326 and N1,327 per litre.

MRS reduced its price by N20 to N1,332 per litre, while Wosbab’s current price stood at N1,330.

The reductions came amid mixed movements in the international crude market. Brent crude fell to $99.77 per barrel, while West Texas Intermediate declined by $1.20, or 1.30 per cent, to $91.17 per barrel.

Brent had traded as high as $109 per barrel the previous week.

However, Murban crude moved in the opposite direction, rising by $4.18, or 3.80 per cent, to $114.20 per barrel.

Changes in international crude prices affect Nigeria’s downstream petroleum market because they influence the cost of refined products and the pricing of locally refined petrol.

The decline in Brent and WTI prices provided room for some petroleum marketers and refiners to reduce their depot prices.

In Port Harcourt, Masters reduced its petrol price by N2 to N1,328 per litre, while Stockgap cut its price by N7 to N1,323.

Bulk Strategic and Sigmund listed petrol at N1,328 per litre, while Matrix retained its price at N1,330.

Calabar also recorded price reductions, with Mainland cutting its petrol price by N7 to N1,320 per litre, the lowest among the locations covered.

Alkanes reduced its price by N2 to N1,325, while Matrix retained its price at N1,330. Sobaz, however, increased its price by N1 to N1,328.

In Warri, Keonamex reduced its PMS price by N3 to N1,327, while Nepal and Prudent cut theirs by N1 and N2 to N1,329 and N1,328, respectively.

Matrix and Optima recorded increases of N3 and N1, taking their prices to N1,330 and N1,328 per litre.

Diesel prices also declined at some depots. In Lagos, Chipet reduced its Automotive Gas Oil price by N15 to N1,815 per litre, while Ascon, Duport and Integrated each reduced their prices by N5 to the same level.

Ibachem, Ibeto, Dangote, Obat and Pinnacle sold diesel at prices ranging from N1,815 to N1,860 per litre.

In Port Harcourt, Masters reduced its diesel price by N35 to N1,900 per litre.

Warri also recorded reductions, with Matrix cutting its AGO price by N50 to N2,000 per litre, while Prudent and Rain Oil reduced theirs by N10 to N1,940.

The latest depot price movements came amid continued volatility in the international oil market, with crude benchmarks responding differently to global supply and demand developments.

Natural gas prices also increased by 2.96 per cent to $2.92, according to the market data.

The recent petrol price reductions indicate that the decline in international crude prices is beginning to affect Nigeria’s domestic wholesale market.

However, the extent of any further reductions will depend on crude oil prices, foreign exchange movements and the cost of refined petroleum products.

Lower depot prices could also affect retail petrol prices as marketers replenish their stocks at reduced rates, although pump prices remain dependent on location, transportation costs and individual marketers’ margins.

Retail petrol prices currently range between N1,370 and N1,450 per litre, depending on the location.