Pump prices of Premium Motor Spirit (petrol) are approaching N1,400 per litre across several parts of Nigeria, driven by rising global crude oil prices linked to tensions in the Middle East.
The surge follows the failure of the United States and Iran to reach a ceasefire agreement that would enable the reopening of the Strait of Hormuz—a critical passage for global oil supply.
The situation has been further compounded by the recent exit of the United Arab Emirates from the Organization of the Petroleum Exporting Countries, intensifying uncertainty in the global oil market.
As a result, Brent crude prices climbed sharply from $105 per barrel on Monday to $118 by Wednesday. In response, the Dangote Petroleum Refinery increased its petrol gantry price from N1,200 to N1,275 per litre, with coastal supply prices rising to N1,215 per litre.
Data from Petroleumprice.ng, alongside confirmation from a refinery official, showed that the new pricing structure took effect midweek, reflecting the growing pressure on domestic fuel costs.
Sources familiar with operations at the refinery disclosed that the company suspended its pro forma invoice entry process around 4 p.m. on Tuesday, disrupting normal supply scheduling. The halt reportedly led to an immediate stoppage of both petrol and diesel sales to marketers.
Meanwhile, the Nigerian National Petroleum Company Limited has raised official selling prices for all 37 Nigerian crude grades for May-loading cargoes, according to a report by Oilprice.com.
The report noted that Nigeria is benefiting from the price rally, with the flagship Bonny Light crude increasing by $6.13 per barrel for May deliveries compared to April. Similarly, the Forcados grade recorded a $7.01 per barrel increase.
Analysts say the sustained rise in global oil prices could continue to exert upward pressure on domestic fuel costs if geopolitical tensions persist.