Heavy truck traffic has returned to the Dangote Petroleum Refinery as marketers increase purchases of petrol and diesel, encouraged by the refinery’s lower gantry prices compared with prevailing rates at several Lagos depots.
The renewed activity has been particularly visible in diesel, with trucks lining up to load from the refinery as marketers take advantage of the widening price gap between Dangote’s supply price and competing depot offers.
The refinery’s gantry prices remain at ₦1,165 per litre for Premium Motor Spirit (PMS) and ₦1,570 per litre for Automotive Gas Oil (AGO), maintaining the lower pricing position it has held for roughly a week.
However, Dangote-linked marketers are reselling the products at ₦1,175 per litre for PMS and ₦1,580 per litre for AGO, respectively. The resale prices remain below or close to several competing depot prices in Lagos, leaving marketers with an incentive to source directly from the refinery.
Data reviewed by Petroleumprice.ng showed that Lagos depot PMS prices on August 18 ranged from ₦1,167 per litre at Pinnacle to as high as ₦1,199 at NIPCO. African Terminal and Integrated both offered PMS at ₦1,195 per litre.
The price gap is more pronounced in AGO. Pinnacle was listed at ₦1,650 per litre, while Gulf Treasure, Integrated, African Terminal, Ibachem and Duport were initially quoted at ₦1,665 per litre. Ardova also stood at ₦1,665, while Ibeto, Ibachem and Duport were later reviewed to ₦1,660.
Other reviewed prices showed Gulf Treasure, Integrated, African Terminal and T.Time at ₦1,660 per litre, still ₦90 above Dangote’s ₦1,570 gantry price.
The differences have strengthened the attraction of direct refinery purchases, particularly for marketers moving large volumes of AGO. The heavy truck presence at Dangote indicates that buyers are responding to the economics of sourcing closer to the refinery rather than relying entirely on higher-priced depot supplies.
On the PMS side, the differential is smaller but remains significant for high-volume buyers. Dangote’s ₦1,165 gantry price is ₦30 below Pinnacle’s ₦1,195 offer and ₦34 below NIPCO’s latest ₦1,199 listing, while the refinery’s marketers’ ₦1,175 resale price also remains competitive against most of the Lagos depot market.
The development comes despite relatively elevated landing costs and depot-to-depot prices, suggesting that Dangote’s sustained pricing strategy is influencing purchasing decisions in the Lagos downstream market.
For marketers, the lower refinery prices provide room to reduce procurement costs, particularly where transportation and other logistics expenses do not erase the price advantage. The resulting truck activity also signals stronger demand for direct refinery supply as buyers seek to maximise margins in a market where depot prices remain above the refinery’s gantry rates.