Petrol Loading Resumes as Depot Prices Surge
Private petroleum depots have resumed loading petrol and diesel after a week-long operational hiatus triggered by market volatility and price recalibrations. The Independent Petroleum Marketers Association of Nigeria confirmed on Tuesday that depot operators reopened gantries following temporary shutdowns to adjust wholesale prices. Operators halted operations to recalculate replacement costs and demand top-up payments on previously issued deal tickets. The sudden pause in distribution created localized supply disruptions across major urban centres earlier in the week. Marketers are taking a cautious approach to avoid severe inventory losses.
Wholesale prices jumped sharply across major commercial hubs as private depots reopened their gates to distribution trucks. Ex-depot petrol prices across primary Lagos terminals increased by N25 to hit N1,275 per litre. Major facility operators, including Pinnacle, Matrix, NIPCO, and Sahara, synchronized their price adjustments upward in lockstep. Regional hubs recorded mixed price movements, with Port Harcourt, Calabar, and Warri depots quoting prices between N1,255 and N1,270 per litre. Wholesale diesel prices also climbed, touching N1,600 per litre across several coastal terminals. The domestic downstream market remains on edge.
The sharp upward price movement reflects ongoing market adjustments after the Dangote Petroleum Refinery shifted its sales terms to US dollars. The Mega-refinery’s transition to dollar-denominated pricing for gantry and coastal sales forced independent marketers to recalculate their long-term supply costs. Although gantry loading at the Lekki-based facility remained muted, fuel importers and private depot owners quickly factored exchange rate risks into local distribution rates. Commercial operators maintain that domestic pricing must track international crude benchmarks and currency movements. The dollarization of wholesale fuel sales continues to complicate local distribution.
Global market shocks from ongoing conflicts in the Middle East have intensified domestic pricing pressures. Marketers cited lingering uncertainties in international crude markets as a key driver for higher replacement costs at private depots. Because crude oil serves as the primary input for refined products, international supply bottlenecks directly inflate domestic wholesale invoices. Local filling stations have responded cautiously, holding back sales or raising pump prices to reflect current depot realities. Retail pump prices are tracking upward to accommodate the foreign exchange burden.
The resumption of loading activities at private depots provides immediate relief to the national distribution network, averting fears of widespread fuel scarcity. However, downstream analysts warn that uncoordinated pricing structures and currency volatility will keep pump prices exceptionally volatile. Marketers continue to advocate for transparent crude allocation frameworks to stabilize domestic refining costs permanently. Without clear foreign exchange guarantees, consumers will bear the burden of rising transportation and logistics costs. The downstream sector remains tied to global economic turbulence.