Petrol prices in Nigeria have soared to between N1,050 and N1,150 per litre, depending on location, following price hikes by the Dangote Petroleum Refinery and private depot operators.
The increase is driven by the rising cost of crude oil, a critical input for fuel production. Festus Osifo, National President of the Petroleum and Natural Gas Senior Staff Association of Nigeria, had earlier predicted this surge, linking it to crude oil prices, which reached $80 per barrel, and the persistent challenges of Nigeria’s exchange rate.
On Friday, the Dangote Petrochemical Refinery, a $20 billion facility, raised its petrol price from N899 to N955 per litre at its loading gantry. Buyers of five million litres or more will pay N950 per litre. This marks an increase from the N899.50 per litre holiday discount offered last December.
Private depots have also adjusted their prices significantly. In Lagos, depot prices have risen to N970 per litre, while Calabar depots now sell for N1,000 per litre. Sahara, Pinnacle, and NIPCO depots made similar upward adjustments, with prices ranging between N970 and N980 per litre.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) projects retail prices to reach N1,100 per litre in Lagos and N1,150 in the Federal Capital Territory. IPMAN’s National Publicity Secretary, Chinedu Ukadike, attributed the increases to rising crude costs, stating, “Once Brent crude increases, domestic production costs will rise as well.”
Retailers are also grappling with tighter margins. According to Billy Gillis-Harry, President of the Petroleum Products Retail Outlet Owners Association of Nigeria, some members are selling at N935 per litre under an agreement with MRS Oil. However, retail prices are expected to exceed N1,000 per litre as market dynamics shift.
These developments highlight mounting pressure on Nigeria’s fuel supply chain, with ripple effects on businesses and consumers nationwide.
