Nigerian petroleum products marketers have announced plans to further slash the pump price of Premium Motor Spirit (PMS), popularly known as petrol, to around N739 per litre nationwide, as competition intensifies in the downstream oil sector.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) disclosed that its members have been assured of direct fuel supply from the Dangote Refinery at a gantry price of N699 per litre beginning in January 2026, a development expected to significantly reduce retail prices across the country.
IPMAN President, Abubakar Maigandi, made this known on Monday, noting that direct sales from the refinery would eliminate multiple layers of logistics costs that currently drive up pump prices.
His comments come amid an ongoing price war in the downstream sector, triggered by aggressive price cuts from the Dangote Refinery and responses from other major players.
On Monday, the Nigerian National Petroleum Company Limited (NNPCL) reduced its petrol pump price to N815 per litre at its retail outlets in Abuja.
Despite the adjustment, NNPCL’s new price remains N76 higher than the N739 per litre currently sold at Dangote Refinery-backed MRS filling stations, highlighting a wide price disparity across the market.
At the close of last year, Dangote Refinery announced a major reduction in its petrol gantry price, a move widely seen as an attempt to edge out competitors and assert dominance in the domestic fuel market.
The refinery slashed its gantry price from N838 to N699 per litre in December, a decision that set the tone for intensified competition among oil marketers heading into 2026.
As of now, petrol prices across the country range between N739 and N900 per litre, depending on location and operator. This wide variation underscores a significant gap between Dangote-backed outlets and other filling stations, including those operated by NNPCL.
In a bid to close the price gap and ensure wider access to affordable fuel, Maigandi said IPMAN members are ready to cap petrol prices at a maximum of N750 per litre once Dangote Refinery commences direct supply to independent marketers.
“You know, Alhaji Aliko Dangote promised that the refinery will begin direct supply to filling stations this month, January 2026,” Maigandi said.
“We are waiting for the refinery to supply independent marketers. Immediately that starts, you will see queues disappear.”
He explained that with a gantry price of N699 per litre, transport costs of about N15 per litre would bring the landing cost to roughly N750 at retail outlets.
“Once direct delivery starts, marketers will begin buying, discharging products and reducing pump prices accordingly,” he added.
Following the December price cut, Aliko Dangote, President of the 650,000-barrel-per-day refinery, fixed the pump price at N739 per litre for MRS filling stations nationwide.
Despite these reductions, the impact has not been uniform across the downstream sector, as petrol is still sold for as much as N900 per litre in Abuja and other parts of the country, fueling public concern and intensifying calls for broader price moderation.
Industry watchers say the commencement of direct supply to independent marketers could be a turning point, potentially ushering in more competitive pricing and easing the burden of fuel costs on Nigerians in the coming weeks.
