Petrol and diesel prices drop across Lagos, Port Harcourt, Warri as crude oil falls below $80
Competition among petroleum marketers and depot operators intensified on Tuesday as prices of Premium Motor Spirit (PMS), also known as petrol, and Automotive Gas Oil (AGO), also called diesel, recorded downward adjustments across major depots in Lagos, Port Harcourt, Warri and Calabar.
The movement followed a sharp fall in international crude prices, with Brent crude dropping below the $80 per barrel mark. Market data showed Brent declined by $4.68, or 5.59 per cent, to $79.09 per barrel, while West Texas Intermediate (WTI) fell by $4.79, or 5.96 per cent, to $75.55. The Organisation of the Petroleum Exporting Countries (OPEC) Basket recorded the steepest drop, plunging 10.04 per cent to $79.50 after shedding $8.87.
In Nigeria’s refined product market, the latest Mid-Day Price Report indicated that while Dangote Petroleum Refinery retained its ex-depot petrol price at N1,215 per litre, several independent operators reduced both petrol and diesel prices. In Lagos, Pinnacle and NIPCO held steady at N1,215 and N1,216 respectively, while Ardova trimmed its price by N1 to N1,216. The narrow band of N1,215 to N1,218 among major Lagos depots pointed to heightened competition for marketers’ patronage.
Diesel prices were largely stable in Lagos, though Emadeb cut its AGO price by N10 to N1,620 per litre. In Port Harcourt, Matrix lowered petrol by N2 to N1,220. Warri recorded some of the sharpest reductions, with Matrix cutting petrol by N7 to N1,221 and Nipco reducing diesel by N15 to N1,650. Checks also showed that MRS, which takes supplies from Dangote, reduced its pump price to N1,245 from N1,280, while other marketers in Lagos and environs moved from above N1,280 to between N1,245 and N1,250.
The price adjustments reflect the direct transmission of lower crude costs into the domestic market and the competitive pressure among depot operators. Sustained reductions at the depot level could ease pump prices if the trend continues. At the same time, the fall in crude benchmarks raises questions about revenue implications for oil-exporting countries, including Nigeria, should the downward movement persist.
Lower product prices offer temporary relief to transporters and industrial users. Whether the relief reaches consumers consistently will depend on how long depot operators maintain the current competitive posture and how fully the reductions are passed on at the retail end.
