NNPC, MRS Other Filling Stations Announce New Petrol Prices 24 Hours After Dangote Increase
- The Dangote Petroleum Refinery has raised its petrol ex-depot price by over N100 per litre
- The adjustment followed a surge in global crude oil prices to about $80 per barrel
- NNPC, other marketers, including MRS Oil Nigeria Plc and Ardova Plc have reviewed their prices
Legit.ng journalist Dave Ibemere has experience in business journalism, with in-depth knowledge of the Nigerian economy, the stock market, and broader market trends.
Less than 24 hours after the Dangote Petroleum Refinery & Petrochemicals raised the gantry price of Premium Motor Spirit (PMS), also known as petrol, by N100 per litre, its partner retail outlet, MRS Oil Nigeria Plc, and the Nigerian National Petroleum Company Limited (NNPC Limited) have increased their pump prices by a similar margin.
Source: Getty Images
New petrol prices
A market survey conducted in Abuja and Lagos showed that several other filling stations also adjusted their pump prices upward.
The development followed Monday’s announcement by Dangote Refinery that it had raised its PMS ex-depot price to N874 per litre from N774, citing volatility in global crude oil markets and rising replacement costs.
Checks revealed that MRS and NNPC Retail raised their pump prices from N875 per litre on Monday to N975 per litre in Abuja, while in Lagos, prices were increased from N837 to N932 per litre.
AYM Shafa and AA Rano, however, increased their rates by N80, moving from N880 per litre to N960 per litre, DailyTrust reports.
Why is petrol price on the rise
The latest increase comes amid heightened geopolitical tensions in the Middle East following military strikes involving the United States, Israel and Iran over the weekend. The escalation has raised fears of supply disruptions around the Strait of Hormuz, a key global oil transit route.
Crude oil prices climbed to about $80 per barrel, up from around $70 before the crisis, and there are expectations it could hit N120 per litre.
The changes have prompted oil marketers in Nigeria to adjust their pricing structures in response to higher anticipated landing and replacement costs.
PETROAN raises concern
Reacting to the development, the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) noted that the escalating Middle East crisis poses significant risks to Nigeria’s fuel market.
PETROAN National President Billy Gillis-Harry in a statement made available to Legit.ng, said the disruption of global energy supply chains, particularly around the Strait of Hormuz, through which a significant share of the world’s crude oil passes daily, has intensified price volatility and uncertainty.
Gillis-Harry said:
"PETROAN notes that any sustained increase in crude oil prices will inevitably be reflected at petroleum retail outlets across Nigeria. If the crisis continues, the impact will extend beyond pump prices to affect foreign exchange stability, domestic fuel pricing structures, and overall inflation levels within the country."
Source: Getty Images
In view of these developments, PETROAN calls for urgent and strategic actions to safeguard Nigeria’s energy security.
The association said:
"This includes prioritizing local refineries by ensuring a steady crude oil supply and creating enabling policies that support optimal operations.
"There is also a call to sustain and strengthen the Naira-for-Crude policy to reduce pressure on foreign exchange and stabilize domestic fuel pricing. Furthermore, the association stresses the need to urgently revamp the four government-owned refineries to restore them to full operational capacity and reduce dependence on imported petroleum products."
Dangote to build CNG stations to power 4,000 trucks
Legit.ng earlier reported that the Dangote Refinery has explained that it plans to invest in CNG stations, also known as daughter stations, as it moves to begin nationwide fuel distribution.
The giant refinery disclosed this when it announced the launch of its fuel distribution bonanza a few days ago.
According to the refinery, the stations will help to power its 4,000 CNG-powered trucks to facilitate the delivery of petrol and diesel to end-users nationwide.
Proofreading by James Ojo, copy editor at Legit.ng.
Source: Legit.ng
