Dangote Petroleum Refinery has raised the price of Premium Motor Spirit (PMS), commonly known as petrol, in response to rising global crude oil prices.
In a statement issued on Friday, the refinery announced a new bulk purchase rate of N955 per litre for customers buying between 2 million and 4.99 million litres.
Bulk buyers purchasing 5 million litres or more will now pay N950 per litre. This marks a 6.17% increase, or N55.5 per litre, from the discounted rate of N899.50 per litre that was available during the December 2024 holiday period.
The new prices will take effect from 5:30 PM today and will apply to all unsold stock and pending orders. The refinery attributed the price increase to the rise in global oil prices, with the cost of crude oil, including Nigeria’s Bonny Light, increasing by 5.1% to $82 per barrel from $78 the previous day.
This surge in price is linked to market instability and uncertainties expected to persist through 2025, according to the Organisation of Petroleum Exporting Countries (OPEC).
Following the announcement, there was a rush at filling stations in Lagos and surrounding areas as motorists and buyers scrambled to purchase fuel. Some filling stations also raised their prices in response to the price hike.
Meanwhile, Senator Heineken Lokpobiri, the Minister of State for Petroleum Resources, reiterated on Thursday that the pump price of petrol would continue to be determined by fluctuations in global crude oil prices.
Speaking at the inaugural meeting of the Petroleum Industry Stakeholders Forum (PISF) in Abuja, Lokpobiri emphasized that the downstream sector is fully deregulated, meaning the government no longer sets fuel prices.
He further explained that under deregulation, petrol prices would rise or fall in line with changes in global oil prices. He pointed out that during the holiday season, some filling stations in Bayelsa were selling petrol for over N1,000 per litre.
Lokpobiri added that the government is focused on ensuring quality control and proper fuel dispensing, rather than regulating prices.
The Minister’s comments come amid concerns over rising petrol prices, with some depot owners recently increasing the price of petrol from N909 per litre to N970 per litre, leading to speculation that prices could soon exceed N1,000 at the pump.
Huub Stockman, Chairman of the Major Energy Marketers Association of Nigeria (MEMAN), also weighed in, noting that while crude oil prices affect petrol prices, the impact is not always immediate.
He explained that changes in crude oil prices do not always result in immediate price adjustments for petroleum products, though there is typically a correlation over time.
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