THE Dangote Petroleum Refinery has reduced its ex-depot price of premium motor spirit (PMS), commonly known as petrol, from N840 per litre to N820 per litre.
The Dangote Group made this known in a statement issued late on Tuesday, July 8, by its spokesperson, Anthony Chiejina.
He said the new price takes effect immediately, announcing that the 650,000 capacity built refinery has engaged more marketers to distribute its petroleum products.
According to Chiejina, the ex-depot price “has been reduced from N840 to N820 per litre effective immediately.”
He noted that the earlier adjustment to N840 per litre also resulted from the global crude oil market volatility, after the 12-day geopolitical crisis between Israel and Iran that drove crude prices higher.
With the reduction in the ex-depot price, Dangote Refinery’s earlier partners, including MRS, Heyden, Ardova (AP), Hyde, Optima, and Techno Oil, are expected to reflect the new pricing on their pump prices at their retail outlets.
Chiejina stated further that more independent marketers have joined the growing list of distributors retailing Dangote refinery’s petroleum products nationwide, due to the assurance of a steady supply.
“Several new marketing companies have joined Dangote’s distribution network. These include TotalEnergies, Garima Petroleum, Sunbeth Energies, Sobaz Nigeria Ltd., Virgin Forest Energy, Sixxco Oil Ltd., N.U. Synergy Ltd. and Soroman Nigeria Ltd.
“Others on the growing list are Jezco Oil Nigeria Ltd., Jengre, Cocean, Kifayat, Triumph Golden, Sifem Global, Riquest, and Mamu Oil, among others,” he listed.
The ICIR reports that the reduction of the Dangote Refinery ex-depot price to N820 per litre comes a week after the refinery dropped the ex-depot price to N840 per litre.
The enlistment of new marketers comes as the Dangote Refinery announced on Sunday, June 15, plans to start the free distribution of petrol and diesel to marketers, dealers, and other large users across the country to reduce pump prices.
The initiative is expected to take off on August 15 this year, but has been greeted with mixed reactions from oil marketers.
Some believe it would take away jobs from operators within the value chain, while others see it as a welcome development to guarantee supply and prompt price reduction.