Major petroleum depots in Nigeria have increased the ex-depot price of petrol following a fresh rally in international crude oil prices driven by renewed geopolitical tensions between the United States and Iran.
According to market updates, several key depots, including Hyden, African Terminal, Ardova, and AITEO, have raised their selling price of Premium Motor Spirit (PMS) to N1,075 per litre.
Global Oil Market Volatility
Brent crude has climbed to $76.20 per barrel, reversing earlier declines and reflecting heightened concerns over potential supply disruptions in the Middle East. West Texas Intermediate was trading at $71.96 per barrel, while Murban crude reached $71.37.
The price recovery follows a period of relative calm after a US-Iran agreement, but fresh uncertainties have prompted traders to factor in additional risk premiums.
Impact on Domestic Market
The adjustment at the depot level is relatively modest but signals that the recent relief at the pumps may be temporary. Analysts expect that if global crude prices remain elevated, marketers could pass on higher costs to consumers in the coming days, potentially affecting transportation fares and the price of goods and services.
Energy analyst Osas Igho noted that Nigeria’s downstream market remains sensitive to international developments, even with increased local refining capacity.
“The latest geopolitical flare-up could lead to gradual increases in petroleum product prices if the situation persists,” he said.
The development comes shortly after the Nigerian National Petroleum Company Limited reduced its retail price to N1,150 per litre, offering temporary relief. However, with global oil prices rebounding, the industry is once again facing upward cost pressures.
Stakeholders are closely monitoring the situation as competition between local refiners and importers continues to shape pricing dynamics in Nigeria’s deregulated fuel market.
