The Dangote Petroleum Refinery has announced a reduction in the gantry price of Premium Motor Spirit (PMS), commonly known as petrol, by ₦75 per litre, offering potential relief to fuel marketers and consumers across Nigeria.

The adjustment was disclosed in a circular issued to marketers on Monday, with the refinery attributing the decision to the easing of geopolitical tensions in the Middle East that had driven energy prices higher over the past three months.

Under the new pricing structure, the refinery reduced its gantry price from ₦1,250 per litre to ₦1,175 per litre. The coastal price per metric tonne was also cut from ₦1,595,790 to ₦1,495,215.

According to the refinery, the revised rates took effect from midnight on June 16, 2026.

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In the circular sent to marketers, the refinery explained that improving conditions in the global energy market influenced the decision to lower prices.

“Following the de-escalation of tensions in the Middle East, which has impacted energy prices, we wish to inform you that we have reviewed our premium motor spirit gantry/coastal price,” the company stated.

The refinery further noted that all outstanding unloaded gantry volumes would be repriced at the new rate from the effective date, ensuring marketers benefit from the adjustment immediately.

The latest development follows reports of diplomatic progress involving the United States and Iran, particularly discussions surrounding the reopening of the Strait of Hormuz, one of the world’s most important oil transit routes.

Over the last three months, crude oil prices surged sharply as geopolitical tensions intensified, with prices reportedly climbing above $120 per barrel at the height of the crisis. The increase translated into higher fuel costs globally and significantly affected domestic fuel prices in Nigeria.

Despite the refinery’s reduction, reports indicate that many fuel marketers were still selling petrol at around ₦1,240 per litre on Monday, well above the new Dangote gantry rate.

Market observers expect the price cut to gradually filter through the distribution chain, potentially leading to lower pump prices if marketers pass on the savings to consumers.

Industry analysts note that the refinery’s new price now places its petrol among the cheapest available in the domestic market, strengthening its position as a key supplier in Nigeria’s downstream petroleum sector.

The reduction also comes after a period of steep increases in fuel costs. During the recent spike in crude oil prices, petrol prices in Nigeria reportedly rose from approximately ₦830 per litre to nearly ₦1,300 per litre. Diesel and aviation fuel prices also recorded substantial increases during the same period.

With crude oil prices now showing signs of retreating and energy markets stabilizing, the refinery’s latest move is expected to ease pressure on fuel costs and provide some relief to businesses and households struggling with high transportation and energy expenses.

Industry stakeholders will now be watching closely to see whether retail fuel stations adjust pump prices in response to the refinery’s new rates.