The Dangote Petroleum Refinery and other petroleum marketers have reduced their depot prices for petrol, following a decline in international crude oil prices.
The latest adjustments were recorded across major petroleum depots in Lagos, Port Harcourt, Calabar and Warri, according to the latest depot price report published by Petroleumprice.ng.
The biggest reductions were recorded in Lagos, where several operators lowered their Premium Motor Spirit (PMS) prices by between ₦20 and ₦25 per litre.
The Dangote Refinery reduced its petrol depot price from ₦1,350 to ₦1,325 per litre, representing a ₦25 reduction.
Ascon, Integrated, Pinnacle and Sahara also reduced their prices by ₦24, with their petrol now listed between ₦1,326 and ₦1,327 per litre.
MRS cut its price by ₦20 to ₦1,332 per litre, while Wosbab was listed at ₦1,330.
The reductions came as international crude prices eased, with Brent crude falling below $100 per barrel. West Texas Intermediate, the US benchmark, also declined to about $91.17 per barrel.
According to the market data cited in the report, Brent fell to $99.77 per barrel, while WTI declined by $1.20, or 1.30 per cent, to $91.17. Brent had traded as high as $109 per barrel the previous week.
However, not all crude benchmarks moved in the same direction. Murban crude rose by $4.18, or 3.80 per cent, to $114.20 per barrel.
The movement in international crude prices is closely watched by Nigeria’s downstream petroleum market because changes in global oil prices can affect the cost of refined products and the pricing of locally refined petrol.
The latest depot reductions were also recorded outside Lagos.
In Port Harcourt, Masters reduced its PMS price by ₦2 to ₦1,328 per litre, while Stockgap cut its price by ₦7 to ₦1,323. Bulk Strategic and Sigmund listed petrol at ₦1,328, while Matrix retained its price at ₦1,330.
In Calabar, Mainland recorded the lowest PMS price among the locations covered, cutting its rate by ₦7 to ₦1,320 per litre.
Alkanes reduced its price by ₦2 to ₦1,325, while Matrix retained ₦1,330. Sobaz moved in the opposite direction, increasing its price by ₦1 to ₦1,328.
In Warri, Keonamex reduced its PMS price by ₦3 to ₦1,327 per litre. Nepal and Prudent also reduced their prices by ₦1 and ₦2 respectively, taking their prices to ₦1,329 and ₦1,328.
Matrix and Optima recorded increases of ₦3 and ₦1 respectively, with their petrol prices moving to ₦1,330 and ₦1,328.
There were also downward movements in the price of automotive gas oil (AGO), commonly known as diesel, at some depots.
In Lagos, Chipet reduced its diesel price by ₦15 to ₦1,815 per litre, while Ascon, Duport and Integrated each cut their prices by ₦5 to the same level.
Ibachem, Ibeto, Dangote, Obat and Pinnacle were listed between ₦1,815 and ₦1,860 per litre.
In Port Harcourt, Masters reduced its AGO price by ₦35 to ₦1,900 per litre.
In Warri, Matrix cut its diesel price by ₦50 to ₦2,000 per litre, while Prudent and Rain Oil reduced their prices by ₦10 to ₦1,940.
The domestic depot price changes come amid continued volatility in the international energy market, where crude benchmarks have been responding to developments affecting global supply, demand and geopolitical risks.
Natural gas prices also moved higher, rising 2.96 per cent to $2.92 according to the market data cited.
The reduction in wholesale petrol prices could put pressure on retailers to review pump prices as they replenish their stocks at lower depot rates. However, retail prices do not always move by the same amount because they are also affected by transportation costs, location, logistics and individual marketers’ margins.
Petrol was selling at roughly ₦1,370 to ₦1,450 per litre in different locations at the time covered by the report.
The latest depot movements therefore provide an indication of easing wholesale prices, but the direction of pump prices in the coming days will depend on subsequent movements in crude oil prices, foreign exchange conditions and the cost of refined petroleum products.
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