Petrol Price Rises to N960 in Abuja, N935 in Lagos as Middle East Conflict Pushes Oil Prices Up

Petrol prices have surged in parts of Nigeria following the escalating conflict involving the United States, Israel, and Iran, which has disrupted global oil markets and triggered higher crude oil prices.

The increase comes after Dangote Refinery raised its ex-depot price by N100, moving from N774 to N874 per litre on Monday due to the rising cost of crude oil.

Following this adjustment, filling stations across the country quickly increased their pump prices.

In Abuja, some retail stations operated by Nigerian National Petroleum Company Limited raised their pump price from N875 to N960 per litre.

In Lagos, checks along Ogunnusi Road showed that NNPC stations were not dispensing petrol at the time, while other stations had already adjusted their prices. A Bovas Group station increased its price from N835 to N935 per litre.

There are growing concerns that fuel prices may rise further as tensions in the Middle East continue to escalate. The conflict intensified after a joint attack reportedly carried out by the United States and Israel targeted Iran, leading to retaliatory strikes by Iran on U.S. military bases and interests in countries such as the UAE, Qatar, Bahrain, and Saudi Arabia.

The ongoing hostilities have disrupted global oil supply, causing crude prices to climb sharply. Brent Crude rose above $80 per barrel on Monday and is currently trading at about $84.2 per barrel.

While higher oil prices may increase Nigeria’s earnings from crude exports, analysts warn that Nigerians will also face higher fuel costs, which could worsen inflation and place additional pressure on households.

Meanwhile, petroleum marketers under the Petroleum Products Retail Outlets Owners Association of Nigeria have expressed concern over the impact of the Middle East crisis on Nigeria’s fuel market.

In a statement signed by the association’s National Public Relations Officer, Dr. Joseph Obele, PETROAN warned that the growing military confrontation involving the United States, Iran, Israel and their allies is already sending shockwaves through global energy markets.

Speaking in Abuja, PETROAN National President Dr. Billy Gillis-Harry said the situation poses a serious threat to oil-importing countries like Nigeria.

According to him, instability around the Strait of Hormuz has heightened uncertainty in the international oil market. About 20 percent of the world’s crude oil and a large portion of global liquefied natural gas shipments pass through the strait daily, making any disruption a major risk to global supply.

He added that recent hostilities have affected energy infrastructure and maritime operations, pushing oil prices higher. Analysts warn that crude prices could exceed $100 per barrel if tensions escalate or shipping routes are disrupted for a prolonged period.

PETROAN noted that Nigeria’s heavy reliance on imported refined petroleum products makes the country particularly vulnerable to such global shocks.

“With the deregulation of the downstream sector, pump prices are largely determined by global crude oil prices and foreign exchange rates. Any sustained increase in crude prices will inevitably reflect at the retail level,” Gillis-Harry said.

He warned that prolonged instability could also increase pressure on Nigeria’s foreign exchange reserves, raise transportation costs, and worsen inflation.

The association therefore urged the Federal Government to prioritise domestic refining capacity to reduce the country’s vulnerability to global oil market volatility.

PETROAN also called for consistent crude oil supply to local refineries and the continued implementation of the Naira-for-Crude policy to reduce dependence on foreign exchange for fuel imports.

Additionally, the marketers urged the government to accelerate the rehabilitation and full operation of Nigeria’s four state-owned refineries, saying this would significantly reduce fuel imports and strengthen the country’s energy security.

The association assured Nigerians that it would continue to monitor developments in the global oil market while engaging stakeholders to protect consumers from extreme price fluctuations.