Dangote Petroleum Refinery has reduced the gantry price of Automotive Gas Oil (AGO), commonly known as diesel, from N1,780 to N1,700 per litre, making its product between N75 and N85 cheaper than imported diesel.
The latest reduction, which took effect on Wednesday, October 7, 2026, represents an N80 cut, or about 4.5 per cent, in the refinery’s diesel price. The adjustment was communicated to customers through a new price notice.
Data from the Major Energies Marketers Association of Nigeria (MEMAN) showed that imported diesel had a spot landing cost of between N1,775 and N1,785 per litre, putting Dangote’s locally refined product below the estimated import cost.
The latest adjustment is the second reduction in Dangote Refinery’s diesel price within a month. The refinery’s decision comes amid movements in international crude prices and declining import-parity costs for petroleum products.
MEMAN data showed that the estimated spot landing cost of diesel fell by N127.28 per litre between September 30 and October 2, declining from N1,823.68 to N1,696.40 per litre. The seven-day average import-parity cost also dropped during the period.
The price reduction could have implications for businesses and industries that rely heavily on diesel to power generators, machinery, logistics operations and other commercial activities. Lower wholesale prices could also put pressure on diesel suppliers and distributors to review their own pricing.
The development is significant for Nigeria’s downstream petroleum sector as the country continues to increase reliance on domestic refining rather than imported petroleum products. The Dangote refinery, with a stated capacity of 650,000 barrels per day, has become a major source of locally refined fuel.
Diesel prices have remained sensitive to international crude prices and import costs. The latest reduction therefore reflects changing market conditions while increasing competition between locally refined and imported petroleum products.
