Nigerian oil marketers are warning citizens to prepare for further increases in petrol (Premium Motor Spirit, or PMS) prices, potentially reaching around ₦1,500 per litre, amid escalating tensions in the Middle East involving the US, Israel, and Iran.
The conflict has driven global crude oil prices sharply higher, disrupting energy supplies and pushing international benchmarks upward. Although prices have shown volatility—Brent crude recently peaked near $120 per barrel before falling back to around $92 per barrel as of March 10, 2026—the overall trend remains elevated due to concerns over prolonged supply disruptions in the region, including activity near the Strait of Hormuz.
Dr. Billy Gillis-Harry, National President of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), shared this outlook during an appearance on Channels Television's The Morning Brief program on Tuesday. Discussing the impact of the global conflict on fuel prices, he emphasized that product availability outweighs cost concerns in the current environment.
He highlighted the role of the Dangote Petroleum Refinery as a critical stabilizer for Nigeria, providing a consistent domestic supply despite higher costs. “The reality is that if you look at the volatility in the price from what we are seeing today, the Dangote Refinery is the salvation for us, due to the consistent source of product, which is much more important at this time than anything. The availability of product is much more important than pricing.”
Gillis-Harry noted that gantry prices from Dangote had already climbed above ₦1,000 per litre, reaching ₦1,175 recently. After factoring in logistics, charges, and other costs, retail prices are expected to continue rising.
“So, yes, ₦1,500 per litre is not far-fetched. It should not make us panic. It is better for us to have the product available, be able to do our business, and get some level of energy security than not having it.”
This warning follows recent price adjustments by Dangote Refinery, which raised its ex-depot petrol price to ₦1,175 per litre (from ₦995) and diesel to ₦1,620 per litre.
These mark multiple hikes in a short period, driven by global market volatility. Dangote's Managing Director has explained that, despite Nigeria's crude-for-naira arrangements, the refinery purchases crude at international benchmark prices and remains fully exposed to global fluctuations.
US President Donald Trump announced on Monday that the US would waive certain oil-related sanctions on some countries temporarily to boost supply and ease prices amid the market turmoil. He described the conflict as potentially short-term, which contributed to recent pullbacks in oil prices after earlier surges.
The ongoing Middle East crisis continues to ripple through Nigeria's downstream sector, with depot operators and marketers adjusting to higher supply costs from the country's largest refinery. Nigerians are urged to anticipate sustained upward pressure on pump prices unless the geopolitical situation de-escalates significantly.
Advertise on NigerianEye.com to reach thousands of our daily users
No comments
Post a Comment
Kindly drop a comment below.
(Comments are moderated. Clean comments will be approved immediately)
Advert Enquires - Reach out to us at NigerianEye@gmail.com