Dangote Refinery may review its gantry price again if the sustained rise in international crude benchmarks continues to push up petroleum product replacement costs, industry sources have told Petroleumprice.ng.
The refinery currently sells AGO at ₦1,850 per litre and PMS at ₦1,265 per litre at the gantry, with the latest market movement putting further pressure on its pricing position. Freight costs have also jumped, with the high cost of shipping adding to the overall replacement cost of petroleum products.
Nigeria’s petrol landing cost has climbed to ₦1,314.67 per litre, while diesel (AGO) stands at ₦1,850.66 per litre, further widening the cost pressures facing suppliers. The rising Brent crude benchmark, combined with higher freight and shipping costs, is pushing replacement costs higher and could eventually force the refinery to review its gantry prices if the pressure continues to linger.
At 10:15 a.m. West Africa Time on Tuesday, Brent crude traded at $99.05 per barrel, gaining $2.05, or 2.11 per cent, while WTI stood at $94.39, up $2.91, or 3.18 per cent.
An industry source said the movement in crude prices was becoming difficult for suppliers to absorb, particularly as the benchmarks had gained about four per cent over the previous two days.
“The benchmarks are rising, and they need to factor in replacement cost, so they might review their prices very soon,” the source said.
The source, however, said the refinery was also weighing the effect of higher fuel prices on consumers and their purchasing power before making any adjustment.
The potential review comes as Lagos diesel prices trade below Dangote Refinery’s current AGO gantry rate of ₦1,850 per litre.
Several Lagos depots were selling AGO below the refinery’s rate on September 7. Duport, Integrated, Ibeto, Ibachem, Gulf Treasure and Ascon initially listed diesel at ₦1,800 per litre, while subsequent price reviews placed some depots at ₦1,790.
Bono and Sahara also quoted AGO at around ₦1,790 per litre, while Chipet was listed at ₦1,782–₦1,785. Aiteo stood at ₦1,800, while Pinnacle’s diesel was ₦1,830 per litre.
The Lagos PMS market, meanwhile, traded slightly above Dangote Refinery’s ₦1,265 per litre gantry price, with PMS listed at ₦1,266 per litre at Pinnacle, ₦1,267 at MRS Tincan, ₦1,270 at Ascon and Aiteo, ₦1,279 at Integrated and Sahara, and ₦1,280 at Nipco on September 7.
However, diesel prices were higher in other locations. Warri recorded A.Y.M. Shafa at ₦1,935 per litre, Prudent at ₦1,860, and Rainoil and Zamson at ₦1,850. PMS in the city ranged from ₦1,280 to ₦1,300 per litre.
In Port Harcourt, PMS prices ranged from ₦1,280 to ₦1,295 per litre, while Bulk Strategic quoted AGO at ₦1,845.
The latest crude movement places further attention on Dangote Refinery's pricing position, with another adjustment likely to depend on how long the international rally lasts and its impact on replacement costs, freight and shipping expenses.
For consumers, any increase in the refinery's gantry price could feed into depot and pump prices, although the timing and size of any potential review remain uncertain.