Dangote Petroleum Refinery has reduced the gantry price of Automotive Gas Oil (AGO), commonly known as diesel, by ₦80 per litre, bringing the price down from ₦1,780 to ₦1,700 per litre.
The new price takes effect Wednesday, October 7, 2026, according to a notice issued by the refinery to its customers.
The latest adjustment represents a 4.5 per cent reduction and comes as diesel import-parity costs decline amid renewed volatility in the global crude oil market.
Dangote Diesel Price Falls to ₦1,700
The latest reduction marks the second diesel price cut by Dangote Refinery within a month, with the latest price bringing its AGO gantry rate close to prevailing import-parity levels.
Data from the Major Energies Marketers Association of Nigeria (MEMAN) showed that the estimated spot landing cost of diesel dropped by ₦127.28 per litre within two days.
The cost fell from ₦1,823.68 per litre on September 30 to ₦1,696.40 per litre on October 2.
MEMAN’s Energy Bulletin also recorded a decline in the seven-day average AGO import-parity cost, which fell from ₦1,871.34 to ₦1,823.19 per litre over the same period.
With Dangote Refinery now selling diesel at ₦1,700 per litre, its new gantry price is only slightly above MEMAN’s estimated spot import-parity cost of ₦1,696.40.
Falling Crude Prices Influence Diesel Costs
The reduction in diesel pricing comes against the backdrop of fluctuations in international crude oil prices.
Brent crude reportedly fell to around $98 per barrel during trading on Tuesday before recovering to approximately $100 per barrel. West Texas Intermediate (WTI) also traded below $90 per barrel.
The movement in crude prices has been influenced by competing supply and demand concerns, including supply risks associated with the Middle East conflict and efforts by major oil-producing and consuming countries to maintain adequate global supplies.
Lower international petroleum product costs have consequently contributed to the decline in Nigeria’s diesel import-parity price.
Dangote Refinery Issues Credit Adjustment Notice
In its notice to customers, Dangote Refinery stated that corresponding credit values for all unloaded gantry volumes affected by the downward price adjustment would be communicated separately.
The refinery’s latest reduction could have wider implications for Nigeria’s downstream petroleum market as marketers adjust their depot and retail prices.
Businesses and bulk consumers are expected to be among the major beneficiaries if the lower refinery price translates into cheaper diesel across the domestic market.
Diesel remains particularly important to Nigerian businesses that depend on generators for electricity, meaning sustained reductions in AGO prices could help reduce operating and energy costs.
Impact on Diesel Prices Across Nigeria
The new ₦1,700 per litre Dangote gantry price could put additional pressure on depot prices and encourage further adjustments across the diesel supply chain.
If international crude prices and import-parity costs remain relatively subdued, marketers may have greater room to reduce diesel prices. However, exchange-rate movements, logistics costs, global oil prices and domestic distribution expenses will continue to influence the final price paid by consumers.
For now, Dangote’s latest adjustment signals another notable shift in Nigeria’s diesel market and brings its refinery-gate price much closer to current import-parity levels.