Nigerian oil marketers have forecasted a potential surge in the pump price of petrol exceeding N700 per litre in the northern region of the country, starting in July.
Mike Osatuyi, the National Controller of Operations for the Independent Petroleum Marketers Association of Nigeria, stated in a media interview on Wednesday that pump price could surpass N700 in the north once independent marketers commence importing products next month.
Petrol currently sells for around N495 and above in Nigeria, with diesel prices approaching N800 per litre. According to reports, while residents in the northern states may have to pay over N700 per litre for petrol, those outside Lagos can expect prices around N610, while residents in Lagos would likely pay approximately N600 per litre.
He explained, “What I am seeing is around N600 and above, depending on the exchange rate, the current crude price at the international market, and the landing cost. Those in Lagos will pay around N600, those outside Lagos around N600 plus, while those in the north would be paying anything from N700 and above.”
The downstream sector is currently awaiting fresh petroleum products as the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) continues to grant licenses to operators interested in the importation business.
Olufemi Adewole, the Executive Secretary of the Depot and Petroleum Products Marketers Association of Nigeria, also mentioned on Tuesday that the NMDPRA is actively licensing additional importers. He further stated that preparations are underway for the arrival of fresh products in July, with prices dependent on market fundamentals.