Despite January Hardship, Private Depots Raise Petrol Price to ₦800 Per Litre in Lagos

By Queen Madaki | The Bureau News

Nigeria News Today: Private petroleum depots across Lagos and other major fuel trading hubs have increased the ex-depot price of Premium Motor Spirit (PMS), commonly known as petrol, to as high as ₦800 per litre, deepening concerns over an imminent rise in pump prices nationwide.

Data obtained from petroleumprice.ng on Friday showed that average depot prices surged sharply within 48 hours, further tightening marketers’ margins amid worsening economic hardship in January.

In Lagos, the Dangote Petroleum Refinery depot, which has consistently sold petrol at relatively lower rates, adjusted its price slightly to ₦703 per litre on Friday, up from ₦702.50 on Wednesday, December 31, 2025.

However, several other private depots recorded more significant increases. Eterna and Integrated depots raised their ex-depot prices to ₦800 per litre on Friday, compared to ₦726 per litre earlier in the week at Shellplux and AIPEC depots.

Aiteo and Lister depots also increased their prices to ₦780 per litre, up from the ₦750–₦760 range recorded earlier in the week.

The price spike was more pronounced in Warri, a major petroleum logistics hub, where Matrix Energy and other leading depots sold petrol at ₦805 per litre on Friday, up from ₦800 per litre on Wednesday.

Industry operators attributed the faster price reaction in Warri to tighter supply lines and higher transportation costs, as marketers reposition stocks in anticipation of potential scarcity.

Recall that in December, the Dangote Petroleum Refinery slashed its petrol gantry price from ₦828 to ₦699 per litre, with the reduction taking effect on December 11, 2025. The move marked the refinery’s 20th petrol price adjustment in 2025.

Market analysts have linked the current price surge to the temporary shutdown of the petrol unit at the Dangote Refinery, which had recently emerged as a major domestic supplier of PMS, helping to stabilise prices after the removal of fuel subsidies.

Commenting on the development, the Chief Executive Officer of petroleumprice.ng, Jeremiah Olatide, said the price increase was a deliberate move by fuel importers seeking to recover losses incurred in December.

“Importers were badly hit by the aggressive price cut by the Dangote Refinery, which forced many to sell below their landing costs,” Olatide explained.

He added that marketers are already factoring in possible supply tightness in January due to ongoing upgrades at the Dangote Refinery.

“Some depot owners are holding back volumes, waiting to sell at prices above their landing costs once supply constraints emerge,” he said, while cautioning that the strategy may not last if domestic supply improves.

According to petroleumprice.ng, Brent crude closed at $60.20 per barrel on Friday, while the naira weakened further at the parallel market to ₦1,495 per dollar, up from ₦1,475 earlier in the week, adding pressure to fuel pricing.

Industry observers warn that sustained depot price increases could push retail petrol prices above ₦700 per litre in several cities, further burdening consumers.

Since the deregulation of Nigeria’s downstream petroleum sector, petrol prices have been determined by market forces, including crude oil prices, exchange rates, logistics costs, and supply availability.

The Bureau News reports that while the 650,000-barrel-per-day Dangote Refinery raised hopes of price stability through local refining, its temporary petrol unit shutdown has exposed ongoing vulnerabilities in Nigeria’s fuel supply chain.