The Dangote Petroleum Refinery & Petrochemicals has increased the gantry price of petrol from N799 per litre to N874 per litre.
The company disclosed this in a notice to its marketers on Monday.
“Dear Valued Customer, we are pleased to inform you that Premium Motor Spirit (PMS) is currently available for purchase. Please be informed that the current price is N874 per litre. Thank you for choosing Dangote,” the notice read.
The gantry price is the price at which petroleum products are sold from the depot to the retailer before it is transported to the retail outlet and sold to the end consumer.
The refinery had previously increased the price of petrol from N699 to N799 per litre in January.
The recent increase comes as oil prices surge due to the US-Israeli strikes on Iran and the potential disruption of oil shipments through the Strait of Hormuz, a critical waterway for global oil trade.
READ ALSO: Dangote Refinery increases petrol price
On Saturday morning, Israel launched an attack on Iran, despite ongoing nuclear talks between Iran and the US. This isn’t the first time Israel has taken such action, as a similar attack occurred in June last year.
On Sunday, the Organisation of the Petroleum Exporting Countries (OPEC) agreed to boost oil production by 206,000 barrels per day, effective April, in a bid to stabilise prices. However, experts doubt this move will significantly impact prices.
Crude oil prices jumped 9 per cent on Monday as tensions between the US, Israel, and Iran sparked fears of supply disruptions.
Benchmark crude grades recorded sharp gains in early trading. West Texas Intermediate (WTI), the US light sweet crude, rose to $72.79 per barrel, up 8.6 per cent from about $67 on Friday, according to data from the CME Group, Al Jazeera reported.
Brent crude, the international benchmark, climbed 9 per cent to $79.41 per barrel from $72.87 on Friday — a seven-month high — based on figures from FactSet.
The price increase is expected to impact petrol retail prices nationwide, with some experts predicting further hikes if crude oil prices exceed $90 per barrel.
