Fuel depots across Nigeria have released new petrol and diesel prices following Dangote Refinery's upward revision of its gantry rates, reshaping the country's petroleum market dynamics. The refinery raised its Premium Motor Spirit (PMS) gantry price from ₦1,075 to ₦1,215 per litre, a ₦140 or 13.02% increase, and increased Automotive Gas Oil (AGO) diesel from ₦1,500 to ₦1,650 per litre, a 10% rise.
Market-Wide Impact of Dangote's New Rates
The price adjustments took effect after Dangote Refinery resumed naira-denominated fuel sales at higher rates, ending a temporary suspension. The move immediately influenced depot operators nationwide, who recalibrated their prices to reflect higher replacement costs. Although Brent crude eased to around $96 per barrel after briefly crossing $100, industry players noted that petroleum products are priced largely on expected replacement costs rather than daily crude fluctuations, keeping depot prices elevated even as global oil prices moderated.
A brief surge in global crude oil prices above $100 per barrel had earlier increased concerns over replacement costs for marketers, but the subsequent pullback did not translate to lower depot prices due to the refinery's benchmark.
Lagos Records Mixed Petrol Prices, Diesel Climbs
In Lagos, petrol prices remained relatively stable despite the refinery's higher benchmark. Major depots including Aiteo, Nipco, Pinnacle, Gulf Treasure, and T.Time reduced their PMS prices slightly to between ₦1,220 and ₦1,228 per litre, suggesting improved product availability and increased competition among marketers. Diesel, however, recorded a sharp upward movement. African Terminal, Duport, Ibachem, and Integrated all raised prices to ₦1,650 per litre, while Menj posted the largest increase, moving from ₦1,498 to ₦1,650 per litre.
Warri and Port Harcourt Adjust Prices
Warri witnessed only modest increases in petrol prices, with most depots raising rates by between ₦3 and ₦10 per litre, indicating adequate supply despite market volatility. Diesel prices were more pronounced: Prudent increased its price by ₦105 per litre, while A.Y.M Shafa and Nipco also adjusted their rates upward. In Port Harcourt, petrol prices remained largely stable; Masters increased its price by ₦10 per litre, Matrix maintained its previous rate, and Liquid Bulk recorded only a marginal increase. Diesel prices in the city surged significantly, with Sigmund raising its price by ₦135 per litre to ₦1,750, and Matrix also increasing to the same level.
Calabar Defies Nationwide Trend
Calabar was the only major market to record a decline in petrol prices during the review period. Hong Petroleum reduced its PMS price by ₦15 per litre, reflecting improved supply conditions and competitive dynamics despite the broader nationwide increase in fuel costs.
Outlook Remains Uncertain
Market analysts expect fuel depot prices to remain firm in the coming days as marketers continue to factor in higher refinery costs and uncertainty in the global oil market. Attention is also focused on the Federal Government's naira-for-crude policy, which remains a key factor in determining domestic fuel prices. Industry operators say that unless international crude prices decline significantly or more crude is supplied under the policy, petrol and diesel prices are likely to remain elevated across Nigeria.
Chinedu Ukadike, National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), confirmed that marketers resumed loading petrol and diesel from private depots after nearly a week of disruptions. He stated that private depots had restarted selling products to marketers and that fears of an impending fuel scarcity were unfounded. Ukadike explained that depot owners had paused loading operations to recalibrate their prices and collect top-up payments from marketers who had purchased products before the latest price increase.
