Mkpoikana Udoma
Port Harcourt — Private petroleum depot owners have slashed the ex-depot price of Premium Motor Spirit, PMS, by as much as N118 per litre, following a fresh round of price reductions by the Dangote Refinery, intensifying competition in Nigeria’s downstream oil market.
Market checks by SweetCrude Reports showed major private depots cutting PMS prices to about N710 and N715 per litre, down from an average of N828 per litre recorded a week earlier.
The sharp drop represents an almost 14 per cent reduction and signals growing pressure on depot operators to align with Dangote-linked supply.
The price adjustment comes days after the Dangote Refinery reduced its gantry price to N699 per litre, effective December 12, 2025, a move that immediately reshaped pricing dynamics in Lagos, Nigeria’s largest fuel trading hub.
A breakdown of the new depot prices shows that Menj Depot cut its rate from N828 to N710 per litre, while Integrated Depot and Bovas Depot dropped from N826 to N710 per litre. A.A. Rano Depot also reduced its price from N829 to N710 per litre.
According to a depot operator, competition from Dangote-backed marketers left private depots with little room to maintain higher prices.
“The Lagos market reacts faster because Dangote’s prices are cheaper here,” the operator said. “Once Dangote marketers began selling around N703 per litre, it became difficult to move volumes at higher prices.”
Industry sources said private depots initially attempted to hold prices close to N800 per litre, but sluggish sales and the risk of stock build-up forced a rapid adjustment.
The development is expected to deepen competition in the downstream sector and could trigger further price reductions in the coming weeks, especially if Dangote Refinery sustains supply volumes and pricing through the yuletide season.
For consumers, the latest cut raises expectations that lower ex-depot prices may soon translate into reduced pump prices, offering some relief amid persistent cost-of-living pressures.
