The Dangote refinery has increased its ex-gantry petrol price by N100 to N1,175 per litre, effective immediately. This follows a previous reduction to N1,075 per litre just two days ago, after an oil price slump.
The latest hike coincides with a rebound in global oil prices, which hit $100 per barrel on Thursday, driven by the ongoing Middle East war and supply disruptions.
The International Energy Agency (IEA) reports that crude and oil product shipments through the Strait of Hormuz have fallen sharply, from 20 million barrels per day (bpd) before the war to a trickle recently.
In response, member countries have agreed to release 400 million barrels of oil from their emergency reserves to address disruptions.
The refinery’s managing director, David Bird, attributes the price increase to global crude oil volatility and replacement cost pressures.
He notes that the refinery incurs costs from 47 government agencies, contributing to the final pump price.
Private depots have responded by slashing petrol prices to rival Dangote Refinery, with some selling at N1,123 per litre. The Nigerian National Petroleum Company (NNPC) has also increased petrol prices to N1,230 per litre in Lagos.
