Nigeria’s downstream petroleum sector is about to witness another shakeup, as depot owners brace for another price increase due to a climb in crude benchmarks.

Legit.ng earlier reported that PMS prices surged across depots, with Dangote Refinery, AA Rano, and Aiteo increasing their PMS prices to N823 per litre, up from N821.

Depot owners increase petrol prices

PetroleumPriceNG reported that MATRIX opened sales on Monday, August 25, 2025, at N820 per litre but closed sales at N830.

Rainoil reportedly increased its prices to N840 per litre, while NIPCO began sales on Tuesday, August 26, 2025, at N830.

Some depots in Calabar and Port Harcourt halted sales completely, showing a tightening supply and pointing to imminent upward adjustments in depot pricing.

Crude oil prices edge up

The depot price increases came as data from the international crude oil market showed strong fundamentals.

Brent Crude rose to $67.75 per barrel, representing an increase of 1.12%. WTI crude sold at $63.61 per barrel, while Murban crude stood at $70.69 per barrel.

Natural Gas, however, dipped to $2.799 per MMbtu, down by 0.96%.

Experts say crude prices usually edge up, as refining and distribution costs affect depot pricing.

Experts predict worst-case scenarios

Nigerian depots are now exposed to further cost increases alongside exchange rate volatility and dollar-denominated crude imports.

According to the analysts, as crude oil prices strengthen, refineries adjust ex-depot prices upward.

The increase is passed on to depot operators who adjust wholesale pricing for marketers.

The effect often shows in retail pump prices unless subsidised by government policies or interventions.

Energy policy analyst, Adeola Yusuf, said the current price levels remain stable but could change if crude climbs above $68 per barrel.

“Depot operators will either absorb rising costs temporarily or adjust prices swiftly to protect margins,” he stated.

Depot owners remain on high alert

As crude prices increase, industry players expect elevated volatility in the short term.

The mix of crude price adjustments, exchange rate volatility, and rising refining costs will determine whether depots will tweak prices upwards in the coming days.

Unless crude prices stabilise, marketers and end consumers may soon face costlier petroleum products across Nigeria’s downstream chain.