Table of Contents
Key Points
- MRS Oil Nigeria Plc, majority-owned by Sayyu Dantata, reduced petrol prices by 4.6%, following a similar move by Dangote Refinery.
- Dangote Refinery is adding eight storage tanks, boosting crude capacity by 41.67% to 3.4 billion liters, amid local supply challenges.
- MRS Oil’s profit jumped 61% to N6.51 billion ($4.2 million) in 2024, driven by strong sales and revenue growth of 71%.
A week after Africa’s richest man, Aliko Dangote, reduced petrol prices at his refinery, MRS Oil Nigeria Plc—majority-owned by his half-brother Sayyu Dantata—has also cut the price of Premium Motor Spirit (PMS), commonly known as petrol, by 4.6 percent.
The company lowered the pump price from N970 ($0.65) to N925 ($0.62) per liter in Lagos, where the Dangote Petrochemical complex is based. Prices in other regions also dropped, with petrol now selling for N935 ($0.625) per liter in the South West, N945 ($0.635) in the North, and N955 ($0.45) in the East.
Dangote Refinery drops price, adds storage
This follows Dangote Oil Refinery’s recent move to lower its ex-depot price by 6.3 percent, from N950 ($0.64) to N890 ($0.60), after a drop in global crude oil prices. The $20 billion refinery, which has a production capacity of 650,000 barrels per day, is ramping up operations to compete with European fuel suppliers despite facing challenges in securing local crude.
To address this, Dangote Refinery is building eight additional storage tanks to hold 6.3 million barrels of imported crude, boosting its total capacity by 41.67 percent to 3.4 billion liters. Four of the tanks are already complete, with the rest nearing completion.
MRS Oil’s profits jump on strong sales
For MRS Oil, which operates across West Africa—including Benin, Togo, Cameroon, and Côte d’Ivoire—this price cut is part of its strategy to strengthen its position in the market. The company, a key distributor of Dangote Refinery’s products, has continued to deliver strong financial results.
MRS Oil’s profits surged from N4.048 billion ($2.6 million) in 2023 to N6.51 billion ($4.2 million) in 2024, driven by higher sales and cost management. Revenue climbed 71 percent to N312.23 billion ($200.9 million), up from N182.3 billion ($117.3 million) a year earlier, as demand for petrol remained high and supply chains were optimized.
MRS Oil doubles assets, boosts retained earnings
The company’s total assets nearly doubled from N54.8 billion ($35.3 million) in 2023 to N105.43 billion ($67.8 million) in 2024, while retained earnings increased to N28.32 billion ($18.22 million) from N22.44 billion ($14.44 million). These gains reflect its ability to expand profitability while keeping costs under control.
As one of Nigeria’s top oil distributors, MRS Oil has navigated inflationary pressures and supply chain challenges to maintain its momentum. With strong demand for petroleum products expected to continue, the company is well-positioned for further growth.
