Oil marketers have disclosed that as of Friday, the landing cost of Premium Motor Spirit (petrol) was ₦922.65 per litre. This figure accounts for various expenses such as shipping, import duties, and exchange rates. The cost reflects a reduction of ₦32.35 compared to the ₦955 per litre offered at the Dangote Petroleum Refinery’s loading gantry.
This drop in landing costs is expected to influence retail prices and might encourage marketers to resume petrol imports. A prominent marketer, speaking anonymously, noted that the reduced cost of imported petrol often incentivizes dealers, making the importation route more appealing.
Last week, the Dangote Petroleum Refinery cited rising crude oil prices as the reason for the earlier increase in petrol prices from ₦899.50. However, the recent decline in landing costs offers some respite from global market and supply chain pressures.
Despite the reduction, retail petrol prices remain high in Nigeria, with major marketers selling between ₦990 and ₦1,010 per litre in the Federal Capital Territory. Data from the Major Energies Marketers Association of Nigeria revealed that the on-spot import parity estimate for tanks was ₦922.65 per litre on Friday, down by 2.2% from the ₦943.75 recorded on Thursday. However, the average 30-day cost rose to ₦939.52 per litre, reflecting ongoing exchange rate and freight cost challenges.
Further analysis of depot petrol prices last week showed a reduction of ₦10 in loading costs. Nipco adjusted its price to ₦970 from ₦965 per litre earlier in the week, while Aiteo and Sahara closed at ₦960 per litre. Depots in Port Harcourt, Delta, and Calabar maintained prices ranging from ₦972 to ₦990 per litre.
Between January 21 and 22, 2025, oil marketers imported approximately 76.84 million litres of petrol, according to Nigerian Port Authority data. Vessels carrying 57,301 metric tonnes of fuel berthed at Apapa, Tincan, and Dangote terminals in Lagos.
The National President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Billy Gillis-Harry, expressed surprise at the imports, highlighting an industry agreement to suspend imports for 180 days to allow the Dangote Refinery to demonstrate its production capacity. However, the Independent Petroleum Marketers Association of Nigeria (IPMAN) clarified that the directive was more of a mutual understanding than a binding agreement. IPMAN’s National Publicity Secretary, Chinedu Ukadike, emphasized that marketers are prioritizing cost-efficiency, and the current focus remains on sourcing the most affordable products.
