Petrol prices remain high despite crude oil crash to $73 per barrel

This price level, recorded on Wednesday, marks the lowest since the US-Iran conflict began in February, and a decline from $76.75 per barrel on Tuesday. The fall in crude prices follows a peace deal between the United States and Iran, which led to expectations among Nigerians that petrol prices would drop below N1,000 per litre. The Dangote refinery recently reduced its petrol gantry price by N75 per litre, from N1,250 to N1,175, prompting other importers to adjust prices.

However, a Dangote refinery official stated that no importer is selling below their current rates, as the refinery is still processing crude purchased at higher prices during the conflict. The Petroleum Products Retail Outlets Owners Association of Nigeria PETROAN has urged refiners, depot owners, and importers to lower their ex-depot and retail pump prices to reflect the decline in international crude oil prices. Billy Gillis-Harry, National President of PETROAN, emphasized that market realities should be reflected in pricing for the benefit of consumers, noting that the landing cost of imported products sometimes appears lower than those from domestic refiners.

Crude oil prices had surged during the conflict due to concerns over shipping through the Strait of Hormuz but have since declined with optimism surrounding the US-Iran