The Dangote petroleum Refinery has slashed the ex-gantry price of premium motor spirit (PMS) to #1200 per litre, reversing its recent price increase.
The refinery slashed the price by #75 per litre, following a previous hike to #1275 per litre driven by soaring global crude oil prices.
Report indicates the latest price cut mirror shifts in global oil prices.
The price reduction follows an important decline in global crude oil prices recently.
Global oil prices tanked, with Brent crude plunging 13 percent to $95.05 barrel and west Texas intermediate WTI crashing 14 percent to $97.18 barrel.
Crude prices tumble, easing global fuel costs. Analyst say the drop has relaxed pressure on refined product pricing worldwide cutting fuel costs for consumers.
The sudden drop in global oil prices is attributed to US president Donald Trump announcement of a conditional two weeks ceasefire with Iran easing tensions and sparking hopes of resumed oil shipment through the critical Strait of Hormuz
According to petroleum price NGI, industry sources indicate that Automotive Gas Oil Diesel may also see a reduction, through official response is still awaited. Retailers are expected to adjust pump prices in the coming days as the reduced gantry cost filters through the supply chain.
The move is a big win for motorists and transport operators brings some much needed relief amidst the ongoing volatility in Nigeria’s downstream petroleum sector.
Wrt- Opeoluwa Oladele
