Dangote Petroleum Refinery has returned to an EBOB-linked pricing arrangement for petrol, abandoning its fixed gantry price structure, as its petrol loading price settles at ₦1,250 per litre.
The change took effect on Saturday, November 7, alongside a reduction in the refinery's marketing consortium from 37 members to approximately 25, according to an industry source familiar with the development.
Dangote Refinery initially introduced EBOB-based pricing when it commenced petrol sales through its consortium marketers. Under the arrangement, petrol prices were determined using a five-day average of the European gasoline benchmark, allowing movements in international product prices to influence the refinery's domestic selling price.
The refinery subsequently moved away from the benchmark-linked arrangement to a fixed gantry pricing structure set at ₦1,300 per litre. Its latest decision reverses that approach, restoring EBOB as the reference for determining petrol prices. Automotive Gas Oil (AGO), however, remains on a fixed gantry pricing arrangement, making it the only product whose price is currently determined through that structure.
The industry source also attributed the consortium reduction to concerns that some participating marketers were contributing to the downward pressure on petrol prices. The refinery reportedly reviewed its membership and removed some companies, reducing the number of approved consortium members from 37 to about 25.
The source said the adjustment coincided with the movement of the refinery's petrol loading price to ₦1,250 per litre. However, the refinery has not publicly confirmed that the reduction in consortium membership directly caused the price adjustment.
The 25 marketers identified under the revised arrangement are Nipco, MRS, Ardova, Fagbem, Masters, Bovas, Optima, Nepal Energies, Mainland, NNPC, Sobaz, Northwest, Danmarna, A.A. Rano, Rainoil, Pinnacle, AYM Shafa, Salbas, Heyden, Eterna, TotalEnergies, Bongas, Soroman, Pivot and Techno Oil.
The return to EBOB-linked pricing comes amid competition among domestic refiners, importers and depot operators in Nigeria's deregulated downstream petroleum market. Since the benchmark reflects international gasoline prices, changes in its value can influence the refinery's petrol selling price and subsequent wholesale market quotations.
The ₦1,250 per litre figure represents the refinery's reported loading price, not a uniform retail rate. Pump prices may vary depending on marketers' procurement costs, transportation expenses and operating margins.
