The cost of refined petroleum products in Nigeria is expected to increase as the price of Brent crude, the global benchmark for oil, reached $79.76 per barrel on Sunday. This marks a significant rise from the $72.88 recorded in December 2024 and is likely to affect fuel prices across the country.
Experts attribute the surge in crude prices to geopolitical tensions, including sanctions on Russian oil exports, along with seasonal demand spikes in colder regions. These factors have compounded supply concerns, driving the upward trend.
Reports indicate that fuel depots in Nigeria have already begun adjusting diesel prices. On Friday, diesel prices at the Nipco depot in Lagos rose by N70, moving from N1,050 to N1,120 per litre. Similarly, Prudent depot recorded an increase to N1,045 per litre, up from N1,025 earlier in the week.
Commenting on the development, oil and gas analyst Olatide Jeremiah noted that the rise in Brent crude prices has a direct impact on refined product costs. “As Brent approaches $80, we are seeing selective price increases at Lagos depots. By Monday, importers are expected to raise prices further to cover procurement and shipping costs,” he explained.
The Federal Government’s 2025 budget had set an oil price benchmark of $75 per barrel, meaning the recent surge surpasses projections and could place additional strain on consumers.
With a large portion of Nigeria’s petroleum products imported, the linkage between global crude prices and local fuel costs remains strong. As international oil prices climb, Nigerians may face further increases in diesel and other fuel prices in the days ahead.
