Dangote Petroleum Refinery has reduced the gantry price of Premium Motor Spirit (PMS) by N25 per litre, lowering the ex-depot rate from N799 to N774 per litre, in a move widely viewed by industry observers as a strategic price recalibration amid evolving downstream market conditions.
The adjustment was communicated to marketers in a notice issued on Tuesday by the Group Commercial Operations Department of Dangote Petroleum Refinery and takes immediate effect.
“This is to notify you of a change in our PMS gantry price from N799 per litre to N774 per litre,” the refinery stated in the notice.
The company also informed marketers that its PMS lifting incentive had ended, marking a shift in its commercial strategy.
According to the notice, the lifting bonus closed at 12:00 a.m. on February 10, 2026, with corresponding credits for qualifying volumes loaded between February 2 and February 10 to be reflected in marketers’ account statements.
Market analysts say the combination of a price reduction and the end of volume-based incentives signals Dangote Refinery’s transition towards a more stable and competitive pricing framework as it consolidates its position in Nigeria’s deregulated downstream sector.
The latest cut follows a period of significant volatility in PMS pricing after the removal of petrol subsidies and full deregulation of the sector. Throughout 2025, ex-depot prices oscillated between about N700 and over N800 per litre, driven largely by exchange rate fluctuations, global crude oil prices and Nigeria’s continued reliance on imported fuel.
The entry of large-scale domestic supply from the 650,000-barrel-per-day Dangote Refinery, the world’s largest single-train refinery, has, however, begun to moderate price pressures, particularly in coastal and southern supply corridors where logistics costs are lower.
Earlier in 2026, the refinery had raised its PMS gantry price to N799 per litre after selling petrol at N699 per litre during the festive period, reflecting rising input and operational costs at the time.
The new reduction to N774 per litre suggests easing cost pressures, improved operational efficiency and growing competition from imported cargoes and emerging modular refineries.
The refinery, owned by Nigerian billionaire Aliko Dangote, commenced petrol supply to the domestic market in 2024, having earlier begun the production of diesel and aviation fuel. Since then, its pricing decisions have increasingly served as a benchmark for ex-depot rates across the country.
Nigeria has historically spent billions of dollars swapping crude oil for imported petrol and subsidising domestic consumption, a practice that placed heavy strain on foreign exchange reserves.
Since assuming office in May 2023, President Bola Tinubu has ended fuel subsidies and floated the naira as part of broader economic reforms aimed at attracting investment and restoring fiscal stability.
While the reforms triggered sharp increases in fuel prices and inflation in the short term, the growing contribution of local refining capacity, led by the Dangote Refinery, is increasingly seen as critical to stabilising fuel supply, conserving foreign exchange and reshaping Nigeria’s downstream petroleum market over the medium to long term.