Fuel marketers are increasingly routing their trucks to Dangote Petroleum Refinery after the facility reduced its diesel price to N1,580 per litre on August 19, creating a significant gap against competing depots in Lagos. Data from Petroleumprice.ng shows that Dangote's Automotive Gas Oil (AGO) now sits N70 to N85 below prices offered by Pinnacle and Ardova, respectively. This price differential means a marketer loading 33,000 litres from Dangote saves up to N2.81 million compared to buying from Ardova at its quoted price, according to BusinessDay reports. The rush has led to tanker queues returning to the refinery as marketers adjust their supply plans to capitalize on the savings, even accounting for additional travel time and waiting costs.
Price Comparison Across Lagos Depots
On August 19, Dangote's diesel was listed at N1,580 per litre, while Pinnacle charged N1,650 and Ardova N1,665 on the previous day. Other suppliers, including Ibeto, Ibachem, Duport, Gulf Treasure, Integrated, African Terminal, and T.Time, were all priced at N1,660 per litre. For petrol, the differential is smaller but still significant for high-volume buyers. Dangote's petrol gantry price of N1,165 per litre is N30 below Pinnacle's N1,195 offer and N34 below NIPCO's latest N1,199 listing. The refinery's marketers' resale price of N1,175 also remains competitive against most Lagos depots.
Here is a snapshot of petrol prices on Wednesday, August 19: Dangote-linked at N1,168, Pinnacle depot at N1,168, Masters depot at N1,185, Liquid Bulk depot at N1,187, Sigmund depot at N1,187, T.S.L depot at N1,187, Nepal depot at N1,195, Parker depot at N1,195, African Terminal depot at N1,198, Ardova depot at N1,198, Integrated depot at N1,198, NIPCO depot at N1,198, Aiteo depot at N1,200, Rain Oil depot at N1,200, and Fynefield depot at N1,220.
Impact on Buyers and Market Dynamics
The cost difference carries real weight for high-volume purchasers. A marketer lifting 33,000 litres from Dangote would pay roughly N2.31 million less than one sourcing the same quantity from Pinnacle, and about N2.81 million less than buying from Ardova at its quoted price. That scale of saving has been enough to shift loading decisions, with some marketers adjusting their supply plans and sending trucks to the refinery even where additional travel time and waiting costs are involved. If Dangote sustains its price advantage, competing depots may face growing pressure to close the gap or risk losing loading volumes to the refinery on a more permanent basis.
Dangote Expands Free Petrol Delivery Programme
Earlier, Legit.ng reported that Dangote Petroleum Refinery has extended its free petrol delivery programme to four additional states. Kano, Imo, Anambra, and Nasarawa now join the six states already covered by the initiative. The scheme previously covered Lagos, Ogun, Rivers, Kaduna, Abuja, and Delta. With the latest expansion, a total of 10 states across Nigeria now fall within the programme's reach. Under the arrangement, qualifying marketers can procure petrol at N1,165 per litre and receive it at no extra delivery cost.
