Dangote Refinery has increased the ex-depot price of Premium Motor Spirit (PMS) or petrol and Automotive Gas Oil (diesel) following a sharp upward movement tied to international crude market pressure.
From $105 per barrel on Monday, Brent crude jumped to $118 yesterday, and to $125 per barrel as of the time of filing this report.
As a result, the Dangote Petroleum Refinery jerked up its petrol gantry price from N1,200 to N1,275 per litre, while coastal supply prices climbed to N1,215 per litre, according to price data obtained from Petroleumprice.ng.
Diesel price has been increased to ₦1,800 per litre, up from ₦1,750, as the Refinery has also suspended loading operations at the facility, the report quoted sources, including those at the Refinery.
Suspension of loading and the Proforma Invoice (PFI) took effect around midnight yesterday, halting diesel allocations to marketers, reports Channels TV.
Market checks show major depots across the nation sold at higher prices during closing hours yesterday.
In Lagos, Swift and Duport sold diesel at ₦1,980 per litre, while TMDK sold at ₦1,950 per litre. Depot data for Calabar shows Northwest depot sold at ₦1,985, while at Warri First Fortune dispensed at ₦1,950 per litre, and at Port Harcourt Matrix depot dispensed at ₦2,050 per litre.
The sharp upward movement is tied to international crude market pressure.
Brent crude was trading at $124.9 per barrel (+5.82%), while West Texas Intermediate (WTI) stood at $109.2 per barrel (+2.18%).
Industry operators say the combination of global oil price spikes and the suspension of loading activities is feeding immediate pricing pressure across Nigeria’s downstream market.
Today, global oil prices extended their rally with Brent crude climbing close to $125 per barrel as mounting supply concerns tightened the international market.
The latest surge has heightened fears of another round of fuel price increases across importing countries, including Nigeria.
As of 06:13 am (WAT), Brent crude was trading at $124.90 per barrel, up 5.82 per cent, while US West Texas Intermediate rose 2.18 per cent to $109.20 per barrel. The sharp gains reflect growing anxiety over supply disruptions and a tightening balance between global demand and available crude.
The rally is being driven largely by renewed tensions in the Middle East, particularly around the Strait of Hormuz, a vital shipping route for global energy supplies. Tighter restrictions on Iranian crude exports have further strained supply, adding to concerns over the availability of prompt cargoes in the global market.
For Nigeria, the implications are immediate. Higher crude prices directly increase the cost of importing refined petroleum products, including petrol, diesel, and aviation fuel. This puts fresh pressure on landing costs and sharply raises replacement costs for downstream marketers.
A fresh round of depot price hikes now appears unavoidable. Across the downstream market, marketers are already adjusting projections for PMS, diesel, and Aviation Turbine Kerosene. From PMS to AGO and ATK, the impact is imminent and immediate, with upward price reviews expected across major depots soon if crude prices remain elevated.
The expected increase will likely reverberate across the domestic market, affecting pump prices, transport costs, airfares, and broader inflation.
Analysts have advised Nigerian consumers and businesses to brace for renewed pressure across the petroleum value chain, unless global supply concerns ease soon.
