Petrol Price May Hit N900 Per Litre as OPEC+ Raises Oil Production to Boost Supply
- Petrol prices are surging again after Dangote Refinery and depot operators increased rates amid rising crude oil costs
- Findings showed that filling stations in Lagos and Ogun states have already begun selling at N900 to N910 per litre
- The Independent Petroleum Marketers Association of Nigeria (IPMAN) says exchange rate instability and rising crude oil prices are to blame
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
The price of petrol in Nigeria is fast approaching N900 per litre, following a steady rise in global crude oil prices and adjustments at local depots.
Depot operators have raised ex-depot prices from an average of N820 to N870 between Thursday and Sunday, Legit.ng reported.
Source: Getty Images
Marketers blame volatile crude and FX rates
At the same time, some filling stations in Lagos and Ogun states have already begun retailing fuel at N900 to N910 per litre.
Notably, Matrix and Rainoil stations at Kara and Ibafo, respectively, sold fuel at N910 and N900 over the weekend, sparking fears of a nationwide price adjustment in the coming days.
The Independent Petroleum Marketers Association of Nigeria (IPMAN) says exchange rate instability and rising crude oil prices are the main drivers of the fuel price hike.
According to a Punch report, IPMAN National Vice President, Hammed Fashola, urged Nigerians to wait until Monday, August 4, 2025, to see how the pricing trend unfolds.
“With the exchange rate and crude prices where they are, the pricing can’t remain static,” Fashola said. “Let’s wait till Monday.”
OPEC+ agrees to ramp up oil supply
In a related development, OPEC+, a coalition of OPEC and non-OPEC oil producers including Russia, agreed on Sunday to increase crude oil production by 547,000 barrels per day (bpd) starting in September.
This move is part of a broader strategy to regain lost market share and address global supply pressures amid ongoing geopolitical tensions.
Reuters reported that the hike brings OPEC+’s total output increase to roughly 2.5 million bpd, amounting to 2.4% of global oil demand.
Global crude prices remain firm around $70
Despite rising production, Brent crude remained steady, closing near $70 per barrel last Friday—well above its April low of $58.
Analysts cite strong seasonal demand and tight global oil inventories as key reasons behind the resilience in prices.
“OPEC+ is betting on a robust market,” said Amrita Sen, co-founder of Energy Aspects. “Their decisions reflect confidence in market fundamentals.”
What higher petrol prices mean for Nigerians
If the current trend continues, Nigerians may soon be paying over N900 per litre for petrol, putting additional pressure on transportation costs, food prices, and household budgets.
Already, depot data from Petroleumprice.ng shows that companies like Fynefield, Sigmund, and Ever Oil are offering petrol at up to N900/litre, while Dangote remains the lowest at N858/litre.
The situation may force many retailers to update pump prices this week to reflect the new supply costs.
OPEC+ to review cuts again in September
OPEC+ is scheduled to reconvene on September 7 to assess whether to reinstate 1.65 million bpd in output cuts, which are currently suspended until the end of 2025.
This decision could further influence global oil prices, impacting Nigeria’s downstream sector once again.
Source: UGC
As one of the world’s largest oil producers, Nigeria is caught between global oil market shifts and domestic pricing pressures, with consumers paying the ultimate price.
Dangote Refinery speaks on shutdown rumour
Legit.ng earlier reported that management of the Dangote Refinery has firmly dismissed widespread rumours of an imminent shutdown at the company’s 650,000 barrels-per-day (bpd) complex in Lagos.
Reports suggesting a planned December turnaround for its key petrol-producing unit have been labelled inaccurate and illogical.
Speaking on behalf of the company, Edwin Devakumar, Executive Director at Dangote Industries, clarified that there are no plans to shut down the Residual Fluid Catalytic Cracker (RFCC) unit.
Source: Legit.ng
