Petrol Landing Cost Rises, Filling Stations Adjust Rates
- MEMAN data showed Nigeria's petrol landing cost climbed to N1,314.67 per litre
- Several depots raised ex-depot petrol prices for the second time in under a week
- Renewed US-Iran tensions and risks around the Strait of Hormuz are pushing global crude prices toward the $100 per barrel mark
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Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Nigeria's cost of importing petrol has climbed to N1,314.67 per litre, according to the latest figures from the Major Energies Marketers Association of Nigeria (MEMAN), as rising global crude prices and mounting geopolitical tensions add pressure to the country's downstream fuel market.
The MEMAN data also put the landing cost of diesel at N1,850.66 per litre, figures that are now broadly level with or above what most depots and the Dangote Refinery are currently charging.
Source: Getty Images
Depot and Refinery Prices Still Below Landing Cost
Despite the higher import benchmark, PMS continues to trade below the landing cost figure at several points in the supply chain.
Market data from Petroleumprice.ng showed that Integrated, Ascon and Sahara depots were each selling petrol at N1,280 per litre as of Thursday, while Dangote Refinery priced its PMS at N1,265.50 per litre.
That leaves the MEMAN landing cost sitting N34.67 above the average Lagos depot price and N49.17 above what Dangote Refinery is currently charging for petrol.
Filling stations in Abuja were selling petrol at between N1,310 and N1,350 per litre at the time of reporting.
Depots Raise Prices for Second Time in a Week
Wholesale prices have already begun moving higher.
A market survey by PetroleumpriceNG found that a number of depot operators raised their ex-depot petrol prices for the second time in less than a week, with prices now ranging from N1,300 to N1,310 per litre, up from an earlier range of N1,265 to N1,275.
Matrix Warri adjusted its price to N1,300 per litre, while Optima depot moved to N1,305 and the Calabar depot raised its price to N1,310 per litre.
The increases represent a rise of between N25 and N35 per litre for the affected facilities.
Source: Getty Images
The earlier round of price hikes followed Dangote Refinery's decision to set its gantry price at around N1,265 per litre, which prompted several depot operators to review their own rates.
Filling stations have also increased petrol pump prices to reflect dynamics in the downstream markets.
New diesel, jet fuel prices
Earlier, Legit.ng reported that Dangote Refinery has reduced the price of Automotive Gas Oil (diesel) at the gantry by N100 to N1,600, providing much-needed hope for a drop in transport, logistics, and manufacturing costs in Nigeria.
Analysts said the cut is expected to fuel a new wave of price competition in the downstream market in Nigeria, with depot prices having been high recently.
In recent days, diesel has sold for between N1,660 and N1,670 across major Lagos depots.
Source: Legit.ng
