Depot prices for Premium Motor Spirit (PMS) and Automotive Gas Oil (AGO) rose across several major depots between 15 and 16 May 2025, as marketers held back sales in anticipation of further hikes driven by international crude market movements.
Latest data from the Daily Oil and Gas Market Intelligence Reports shows a uniform upward trend across for Depot Prices on PMS and AGO prices in four prominent depots: Dangote, NIPCO, Pinnacle, and Rain Oil.
Depot Price Comparison (PMS & AGO) – 15 May vs 16 May 2025
| Depot | Product | 15 May Price (₦) | 16 May Price (₦) | Price Change (₦) |
|---|---|---|---|---|
| Dangote | PMS | 832 | 837 | +5 |
| AGO | 925 | 937 | +12 | |
| NIPCO | PMS | 835 | 840 | +5 |
| AGO | 960 | 970 | +10 | |
| Pinnacle | PMS | 832 | 837 | +5 |
| AGO | 930 | 935 | +5 | |
| Rain Oil | PMS | 860 | 870 | +10 |
| AGO | 960 | 970 | +10 |
Anticipation of Further Increases Halts Sales at Key Depots
Some marketers at Menj, Mao depots among others reportedly held back sales across select depots, expecting a price rally by Monday. This was linked to the ongoing trade optimism between the United States and China, which has caused Brent crude to surge. Expectations of a stronger crude market are fuelling bullish sentiment in the domestic downstream sector.
Rain Oil maintained one of the highest PMS prices at ₦870 on Thursday, while Pinnacle initially attempted to set prices at a steep ₦855 earlier in the week. However, due to slow offtake and unfavourable market response, they later revised the rate downward.
Meanwhile, Dangote and its subsidiaries, including MRS in Tincan, remained relatively conservative, offering PMS at ₦835 as ex-depot prices. These pricing strategies reflect a broader caution across the market as stakeholders watch global crude movements closely.
What’s Driving the Crude Oil Surge?
Although the exact triggers are still speculative, analysts point to heightened optimism around US China trade negotiations, lower than expected US crude inventories, and geopolitical tensions in the Middle East as likely catalysts behind the rising Brent prices. As of Thursday, Brent was trading above $89 per barrel, marking a significant rebound from recent lows.
This crude rally is expected to tighten product margins, especially for independent marketers who may now struggle with pricing competitiveness and inventory replacement.
Outlook
Market watchers anticipate sharper depot prices adjustments by Monday should international benchmarks continue their upward trajectory. “We’re seeing hesitation from marketers who are now trying to read the tea leaves on where Brent is headed,” a depot source disclosed.
As the Nigerian downstream sector remains tightly tethered to global oil dynamics, consumers and marketers alike must brace for potential volatility in the days ahead.