Bismarck Rewane, Managing Director of Financial Derivatives Company Limited, has projected a continued decline in petrol prices until June 2025.
Speaking on Channels Television’s Business Morning on Tuesday, March 4, 2025, Rewane attributed the trend to market competition between the Nigeria National Petroleum Company Limited (NNPCL) and Dangote Refinery, both of which recently announced reductions in fuel prices.
“So, generally, between now and June, we will see prices begin to decline. But after June, as things stabilize—depending on global oil and currency market dynamics—we might begin to see some stabilization,” Rewane stated.
He emphasized that while price wars typically lead to temporary benefits for consumers, market forces would ultimately determine long-term pricing.
“In a price war, nobody wins; the consumers win in the short run, and then eventually, the market goes back to where it should be. But, at the end of the day, between now and June, the price leadership will be firmly established,” he added.
Dangote Refinery’s Price Reduction Strategy
Dangote Refinery’s recent price cuts have been linked to improved production cost efficiency and other operational factors. The company announced the following revised petrol pump prices:
₦860 per liter in Lagos (MRS Holdings stations)
₦870 per liter in the South-West
₦880 per liter in the North
₦890 per liter in the South-South and South-East
Similarly, Ardova Petroleum (AP) and Heyden stations adjusted their prices to:
₦865 per liter in Lagos
₦875 per liter in the South-West
₦885 per liter in the North
₦895 per liter in the South-South and South-East
Days after Dangote Refinery’s price revision, NNPCL followed suit, reducing its petrol pump price to ₦860 per liter at its Lagos stations. However, the corporation has yet to issue an official statement confirming the adjustment.
With ongoing competition between key players in the sector, industry watchers will closely monitor how pricing evolves in the coming months.
Comments