Independent marketers and private depot operators have begun selling petrol below Dangote Petroleum Refinery’s benchmark price, even after the refinery raised its ex-gantry rate, triggering an immediate pump price increase by MRS to ₦839 per litre.
What triggered the price increase
Dangote Petroleum Refinery adjusted its ex-gantry petrol price to about ₦799 per litre, citing tighter supply conditions and higher replacement costs. In response, MRS—one of the refinery’s key retail partners—moved quickly to align pump prices, lifting rates to ₦839 per litre across its stations.
However, the price reset failed to hold across the broader market.
Private depots and independents undercut the benchmark
Meanwhile, private depots and independent marketers took a different path. Several depots sold petrol below the Dangote benchmark on Thursday and Friday, according to market checks by Petroleumprice.ng.
At the depot level, Aiteo sold petrol at ₦797 per litre. Matrix followed closely at ₦798 per litre, while Shellplux also traded at ₦797 per litre. These prices sit clearly below Dangote’s ₦799 ex-gantry rate, effectively undercutting the refinery-led pricing structure.
In addition, the discounting extended beyond depots to retail outlets operated by independent marketers. Petrol is sold at Toluwaleshe Filling Station in Igando at ₦816 per litre, undercutting MRS’s ₦839 pump price. Similarly, a Mobil-branded filling station in Isheri sold petrol at ₦815 per litre, reinforcing the pricing gap created by independent operators despite the recent increase.
Market pressure builds despite Dangote, MRS move
As a result, the widening price gap highlights growing resistance among independent marketers to fully pass through Dangote’s latest increase. While Dangote and MRS aim to set a market anchor, private depots and independent retailers continue to leverage alternative supply positions and thinner margins to stay competitive.
For now, the undercutting suggests that Dangote’s pricing power, though influential, still faces real limits in a fragmented downstream market where independents actively shape street-level prices.