Brent crude prices surged close to $70 per barrel in early trading on Tuesday, fueling fresh concerns of higher petroleum product costs in Nigeria. Market data showed Brent at $69.26 per barrel, up $1.11 or 1.63%, while West Texas Intermediate (WTI) climbed to $65.79 per barrel, gaining $1.78 or 2.78%.
Nipco Raises Price to ₦850/L
Against the backdrop of the international oil rally, Nigerian downstream player Nipco Plc increased its Lagos ex-depot price to ₦850 per litre. The move reflects tightening global supply conditions and signals what could be another round of nationwide adjustments at depots.
Depot Prices Poised to Rise
Market sources informed Petroleumprice.ng that ex-depot petrol and diesel prices are set to climb today, driven by the sharp uptick in crude benchmarks. Since crude accounts for about 80% of refined product pricing, the near-2% jump in oil futures this morning makes higher wholesale costs almost inevitable.
Market Signals and Local Impact
The recent rally underscores the volatility facing Nigerian fuel importers who rely heavily on international markets to set costs. With Brent approaching the $70 threshold, marketers warn that consumers should brace for a ripple effect in both retail petrol and diesel prices in the coming days.
Industry analysts say sustained crude gains could pressure the government’s ability to manage affordability concerns while keeping supply stable. “Whenever Brent surges like this, local pricing responds almost instantly, and Nipco’s move to ₦850/L is only the beginning,” a Depot Manager explained.