NNPC, Independent Marketers Slash Petrol Prices Below Dangote Rate 

A fresh price war has erupted in Nigeria’s fuel market as retail stations owned by the Nigerian National Petroleum Company (NNPC) and independent marketers have reduced their petrol prices below those of the Dangote Refinery.

As of June 3, 2025, several filling stations across Lagos have dropped their pump prices. Al-Moruf Filling Station in the Igando area now sells petrol at ₦865 per litre, while MOJ and Eunice stations are also offering similar rates. NNPC Retail has joined the fray, adjusting its own price to ₦870 per litre all lower than the ₦875 per litre currently charged at stations supplied by the Dangote Refinery.

Depot prices have also taken a plunge. AITEO depot is now selling Premium Motor Spirit (PMS) at ₦826 per litre, giving independent resellers a better profit margin compared to purchasing from Dangote’s supply.

Experts believe these developments reflect a significant shift in the petroleum pricing landscape. Despite Dangote Refinery’s increased refining output and operational strength, it appears competitors are gaining ground by underpricing its supply. 

Analysts say this trend indicates that private marketers are now taking the lead in price-setting within Nigeria’s deregulated downstream sector.

“The move shows a battle for market share,” one analyst said. “It’s a case of survival and relevance. If Dangote Refinery cannot maintain price competitiveness despite local refining advantages, it may lose dominance faster than expected.”

In response, Dangote Refinery is set to import five million barrels of West Texas Intermediate (WTI) crude oil from the United States for July deliveries. 

The refinery, with a capacity of 650,000 barrels per day, has reportedly secured around 161,000 barrels daily from U.S. sources to boost production and possibly reduce prices further.

In a bid to stay competitive, some independent marketers are reportedly collaborating, jointly purchasing up to 40,000 litres to reduce costs and avoid losses triggered by Dangote’s pricing strategy. 

As more fuel enters the market, especially from international sources, experts expect retail fuel prices to fluctuate further in the coming weeks, intensifying competition across the board.