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Dangote Petroleum Refinery has raised its Premium Motor Spirit (PMS) gantry price by ₦85 per litre, pushing the wholesale price from ₦1,265 to ₦1,350 and signalling fresh upward pressure on petrol prices across the country. The latest adjustment, according to Petroleumprice.ng, represents a 6.7 per cent increase and comes as international crude oil prices and petroleum product replacement costs continue to climb.
The development is particularly significant as the new Dangote price is now above the current PMS landing-cost benchmark of ₦1,311 per litre, further complicating pricing decisions for depot owners and independent marketers.
The refinery had earlier maintained its Lagos gantry price at ₦1,265 per litre despite rising international market prices. However, the renewed surge in crude oil and replacement costs appears to have forced a reassessment of its pricing position.
The impact is already being felt in the wider market, with depot marketers across the country adjusting their prices and stock positions in anticipation of higher replacement costs.
Market operators said the pressure is also spreading beyond Lagos, with similar concerns emerging across major coastal trading hubs, including Warri, Port Harcourt and Calabar.
However, actual depot prices vary from one supplier to another, depending on factors such as available stock, product source and prevailing market conditions.
The new ₦1,350 per litre ex-gantry price effectively establishes Dangote Refinery’s latest wholesale reference point, putting further pressure on depot owners and marketers, whose next pricing decisions will largely depend on how crude oil prices and international product replacement costs evolve.
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With replacement costs already elevated, the latest Dangote adjustment could therefore translate into another round of price reviews across the downstream petroleum market if the international crude rally persists.
Recall that global crude oil prices climbed above $100 per barrel, reaching their highest level since July, as escalating military tensions in the Middle East raise fresh fears of disruptions to crude production and international oil shipments.
Brent crude, the global benchmark against which Nigeria’s crude is priced, rose 2.8 per cent on Wednesday to break above the $100 per barrel mark, while US West Texas Intermediate (WTI) gained 2.9 per cent to $95.70 per barrel.
The latest rally has pushed both benchmarks more than 60 per cent higher than their levels at the beginning of the year, increasing concerns that a prolonged energy shock could drive up the cost of petrol, diesel, aviation fuel, electricity generation, transportation and manufactured goods across the world.
The surge was triggered by a fresh escalation in the Middle East, following reports of strikes involving Iranian oil tankers in the Gulf of Oman and another vessel near Kharg Island, one of Iran’s major oil export centres.
The development came amid reports of attempted missile attacks on a US Navy warship, raising concerns that the conflict could widen and threaten key oil-producing and shipping areas.
