Petrol Hits N1,900/Litre Days After FG Announces N50 Reduction
Petrol depot prices have surged to N1,900 per litre in Port Harcourt, just days after the Federal Government announced a N50 reduction in petrol prices at NNPC filling stations to cushion the impact of rising global oil prices.
The latest increases were recorded on Friday across Lagos, Port Harcourt, Warri and Calabar, raising concerns that petrol prices could climb further in the coming days.
In Port Harcourt, NIPCO increased its Premium Motor Spirit (PMS) price by N170 per litre, from N1,730 to N1,900.
Six other depots, including African Terminal, Ascon, Eterna, Gulf Treasure, Ibachem and Ibeto, also raised their prices from N1,750 to N1,900 per litre, representing an increase of N150.
Duport and Integrated increased their prices by N56, moving from N1,750 to N1,806 per litre.
In Lagos, Masters raised its petrol price from N1,303 to N1,350 per litre, while Matrix increased its rate from N1,330 to N1,360.
Sigmund and T.S.L adjusted their prices from N1,300 to N1,350 per litre, while NIPCO increased its price from N1,326 to N1,350.
In Calabar, Matrix raised its price from N1,315 to N1,370 per litre. Meanwhile, in Warri, Keonamex, Matrix, Nepal and Parker increased their prices from N1,315 to N1,360, while Optima moved from N1,330 to N1,360 per litre.
Petrol Prices Differ Across Filling Stations
Despite the increases at several depots, retail petrol prices remained lower at some filling stations in Lagos and neighbouring areas.
NNPC Limited sold petrol at N1,360 per litre, while MRS Oil Nigeria Plc offered the product at N1,338. 11 Plc sold at N1,338.80 per litre.
However, independent marketers charged between N1,368 and N1,400 per litre, depending on location.
The differences mean that motorists buying from MRS and 11 Plc paid less than customers patronising some independent filling stations.
Global Oil Prices Record Mixed Movements
The depot price increases coincided with a slight rise in international crude oil prices.
Brent crude climbed from $104.28 to $104.50 per barrel, while West Texas Intermediate (WTI) increased from $91.49 to $91.73.
The OPEC Basket also rose from $108.59 to $109.50 per barrel, while WTI Midland increased from $92.32 to $92.74.
Natural gas prices climbed from $3.168 to $3.235, while the Indian Basket rose from $117.63 to $121.10 per barrel.
However, Murban crude declined from $110.49 to $108.50 per barrel. Gasoline prices also dropped from $3.316 to $3.293, while heating oil fell from $4.883 to $4.724.
The mixed movements suggest that rising crude oil prices alone may not explain the latest domestic increases. Supply conditions, transportation costs, replacement costs and individual depot pricing decisions could also be contributing factors.
Diesel Also Reaches N1,900/Litre
The diesel market recorded similar increases, particularly in Warri, where Rain Oil and Matrix raised their Automotive Gas Oil (AGO) prices by N180 per litre, from N1,720 to N1,900.
In Port Harcourt, Dangote increased its diesel price from N1,702 to N1,720 per litre, while Masters raised its rate from N1,788 to N1,825.
The increases could further raise operating expenses for manufacturers, transport operators and businesses that depend on diesel for transportation and electricity generation.
Speaking to Vanguard, the Chief Executive Officer of Petroleumprice.ng, Olatide Jeremiah, said the Nigerian downstream petroleum sector would continue to respond to developments in the international oil market despite domestic challenges.
“Despite domestic issues and development in Nigeria, the downstream sector would continue to respond or react to developments at the global oil market,” he said.
The latest developments highlight continuing pressure on Nigeria’s petroleum market, with wholesale prices rising in several locations even as some retailers maintain comparatively lower pump prices.
