DANGOTE SLASHES PMS PRICE BY N75 AMID FALLING GLOBAL OIL PRICES
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By: Fasasi Hammad
In a swift reversal that may bring some relief to Nigerians, the Dangote Refinery has reduced the price of Premium Motor Spirit (PMS) to ₦1,200 per litre, rolling back its recent hike.
The refinery lowered its ex-gantry price by ₦75, dropping it from around ₦1,275 per litre—a development already stirring reactions across the downstream sector.
This adjustment comes just days after a price increase driven by volatility in global oil markets. However, the situation has changed rapidly, prompting a downward review that analysts say underscores how sensitive local fuel prices are to global crude movements.
The reduction is tied to a notable drop in international oil benchmarks, with Brent crude falling to $95.05 per barrel (about a 13% decline) and WTI crude slipping to $97.18 per barrel (nearly 14%).
Energy experts say the dip has eased production costs for refiners, making the ₦75 cut possible. Market observers link the decline in crude prices to geopolitical developments involving Donald Trump, who reportedly announced a conditional two-week ceasefire with Iran—calming fears of immediate supply disruptions.
The de-escalation triggered a sell-off in global oil markets, driving prices downward.
The price cut is expected to slightly lower pump prices nationwide, reduce transportation and logistics costs, and provide short-term relief for businesses and households.
Still, industry stakeholders warn that fuel prices remain volatile, as they are closely tied to global oil trends. Experts caution that any renewed geopolitical tensions or supply shocks could quickly drive crude—and local petrol prices—higher again.
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