By Adewale Sanyaolu
Dangote Petroleum Refinery yesterday announced a fresh deal with its key retail partners, reducing petrol pump retail price from N920 to N890 per litre.
Daily Sun had exclusively reported on Tuesday the reversal of a fuel price cut arrangement earlier announced by Dangote Petroleum Refinery and its three key fuel retail partners in March over the break down of talks on the naira-for- crude deal between NNPC Ltd and Dangote refinery.
This was as it also announced a reduction in the gantry price of petrol, from N865 to N835, effective yesterday. The reduction in gantry price marks the second price reduction within a week.
Dangote disclosed that its key partners, including MRS, AP (Ardova), Heyden, Optima Energy, Hyde and Techno Oil, will offer petrol at N890 per litre, down from N920 in Lagos.
While in the South-West, the price will be N900 per litre, reduced from N930.
In the North-West and North-Central, the price will be N910 per litre, lowered from N940.
In the South-East, South-South, and North-East, the price will be N920 per litre, down from N950.
According to Dangote, these price reductions reaffirm its commitment to providing high-quality petrol at affordable rates, benefiting consumers across the nation.
“We are working collaboratively with our partners to ensure equitable reflection of this price reduction. Dangote Refinery has consistently worked to reduce the prices of petrol and other refined petroleum products, ensuring the continued benefit of Nigerian consumers.
“For example, in February, the refinery reduced prices twice by N125. In addition, products such as diesel and Liquefied Petroleum Gas (LPG) have also experienced significant price reductions due to the refinery’s sustained efforts,” it said.
The refinery said it anticipates that this latest reduction in PMS prices will generate a positive ripple effect throughout various sectors of the economy, providing much-needed relief to consumers and contributing to broader economic growth, particularly during the Easter season.
“Dangote Petroleum Refinery remains steadfast in its commitment to ensuring a steady supply of premium-quality petroleum products, with sufficient reserves to meet domestic demand, along with a surplus for export.
“This strategy is designed to support the stability of the domestic market while also contributing to the growth of Nigeria’s foreign exchange reserves.
“Furthermore, we call on industry stakeholders, including marketers and distributors, to continue sourcing their products from the refinery, ensuring that the benefits of these price reductions are fully realised across the country,” the company said.
In its bid to ensure it gets a grip on the market had last month sealed a pact with three fuel retail outlets—MRS, Heyden, and AP—to sell petrol at its various filling stations in Lagos, other South-West states, the North, the South-South, and the South-East at prices ranging between N860 and N895 per litre.
The agreement aims to offer Nigerians more affordable fuel by reducing the price of Premium Motor Spirit (PMS) at the pumps aims to reduce the price of petrol at pump, potentially providing relief for consumers who have been facing high fuel costs.
This deal is expected to have a significant impact on the Nigerian oil and gas market, particularly in terms of price stability and fuel scarcity.
But, despite the assurance by the Federal Government last week that the Naira-for-crude would not discontinued, feelers from the fuel market suggest otherwise as MRS, Heyden and AP have jerked up petrol prices from N860 and 895 per litre earlier agreed with Dangote to N920 and N940 per litre respectively, an indication that the earlier deal has collapsed.
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