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Oil Marketers To Sell Imported Petrol Cheaper Than Dangote – Details

Published

2 months ago

Nov 2, 2024.

Oil marketers disclosed on Friday that the Dangote Petroleum Refinery’s price for Premium Motor Spirit (PMS), commonly known as petrol, is between N1,015 and N1,028 per liter, depending on purchase volume.

In response, marketers announced plans to import petrol and sell it at a lower price than both the Dangote Refinery and the Nigerian National Petroleum Company Limited (NNPCL).

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EKO HOT BLOG reports that according to data from the Major Oil Marketers Association of Nigeria, the landing cost for imported PMS stood at N978.01 per liter as of October 31, 2024. Diesel and aviation fuel were even higher, at N1,069.97 and N1,119.67 per liter, respectively.

Despite commencing local production, the Dangote refinery has not publicly set an official price, though sources within the marketing sector confirm its rates are above those of imported fuel.

Dangote reportedly charges bulk buyers N1,015 per liter and smaller buyers N1,028 per liter.

In light of this pricing, the Petroleum Retail Outlet Owners Association of Nigeria (PETROAN) stated its commitment to selling imported PMS at a price lower than Dangote’s.

Oil Marketers Petrol Dangote

Dr. Joseph Obele, PETROAN’s Publicity Secretary, noted that Dangote’s higher price may be due to the refinery using imported crude purchased at a premium rate.

Obele also revealed that the association has secured agreements with international fuel suppliers to import PMS at favorable rates, expecting the product to arrive in Nigeria with a landing cost around N800 per liter.

This price adjustment could provide much-needed relief to Nigerian consumers facing high fuel costs.