Tech
Jun 17, 20261
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Dangote Refinery Cuts Diesel and Jet Fuel Prices Amid Global Oil Price Decline
The Dangote Petroleum Refinery has cut prices for diesel and jet fuel by N100 per litre each, following a broader decline in global crude oil prices. Private operators are adjusting prices competitively, though retail pump prices lag due to inventory considerations. Further reductions are expected if US-Iran tensions continue to ease.
Quick Facts
Who
Dangote Petroleum Refinery
What
Diesel price reduced by N100 per litre
When
Tuesday
Where
Nigeria
- Diesel price reduced by N100 per litre
- Jet fuel price reduced by N100 per litre
- Petrol gantry price reduced by N75 per litre
- Brent crude fell below $80 per barrel
- Private depot operators lowered prices to compete
The Dangote Petroleum Refinery has reduced gantry prices for diesel and jet fuel in response to falling global crude oil prices. The refinery lowered diesel prices by N100 per litre, from N1,700 to N1,600 per litre—a 5.9 per cent reduction—while jet fuel prices dropped by the same amount, from N1,550 to N1,450 per litre. These cuts followed an earlier N75 reduction in petrol gantry prices, from N1,250 to N1,175 per litre, driven by de-escalating Middle East tensions and weakening crude oil markets.
Global crude prices have declined sharply in recent days. Brent crude, the international benchmark, fell below $80 per barrel on Tuesday for the first time in approximately three months, dropping from $83 per barrel on Monday to $78 per barrel. This represents a significant retreat from the peak of approximately $120 per barrel during the Middle East crisis, which had previously driven sharp increases in global fuel prices.
Private depot operators in Nigeria are responding competitively to the Dangote refinery's price adjustments. Rainoil reduced jet fuel prices from N1,553 to N1,550 per litre, while diesel closing prices across major Lagos depots—including African Terminal, Sahara, Ibeto, and Duport—averaged N1,660 per litre on Tuesday. However, retail pump prices have not yet adjusted uniformly across the country, as many marketers hold older, higher-cost inventory.
Chinedu Ukadike of the Independent Petroleum Marketers Association of Nigeria (IPMAN) explained that further price reductions are likely as tensions between the United States and Iran ease. He noted that loading activities typically slow when the Dangote refinery announces new prices, allowing marketers a window of one to two days to clear old stock before fresh supplies enter the market. Ukadike urged consumers to exercise patience, as immediate price adjustments at retail pumps would result in losses for merchants holding expensive inventory.
Despite the price cuts, some industry observers have raised concerns. Joseph Obele, spokesman of the Petroleum Products Retail Outlet Owners Association of Nigeria, noted that imported petroleum products appear cheaper than locally refined fuel and called on the Nigerian Midstream and Downstream Petroleum Regulatory Authority to issue additional import licenses. Social media complaints have also emerged that the announced reductions do not fully reflect the recent decline in crude oil prices.
Why This Matters
Dangote's price reductions signal a structural shift in Nigeria's fuel market, reflecting the transition from imported to domestic refining. For consumers, lower refinery gate prices should eventually cascade to retail pumps, improving affordability. For energy investors, the timing of US-Iran tensions easing and crude prices stabilizing below $80/barrel creates windows for supply chain optimization. However, inventory friction means immediate relief depends on how quickly marketers clear expensive stock—a critical variable for inflation management in Nigeria's downstream sector.
Timeline & Sources
Jun 16, 2026
WireDangote refinery announced N75 drop in petrol gantry price
Jun 16, 2026
WireBrent crude fell to $83 per barrel on Monday
Jun 17, 2026
WireDangote refinery reduced diesel by N100 and jet fuel by N100 per litre
Jun 17, 2026
WireBrent crude fell below $80 to $78 per barrel
Jun 17, 2026
WireRainoil adjusted jet fuel price from N1,553 to N1,550 per litre