Just In: Iran-Israel Conflict May Push Petrol Price to N1,000/Litre as Global Oil Price Surges

Fuel pump

Firstsitenews-The escalating conflict between Israel and Iran, coupled with retaliatory U.S. military action, is triggering turbulence in the global crude oil market, raising concerns that petrol prices in Nigeria could soon exceed N1,000 per litre.

Global crude oil prices are nearing the $80 per barrel mark following joint U.S.-Israeli airstrikes on key Iranian nuclear facilities. The strikes, described by U.S. President Donald Trump as a "preemptive defensive strike," reportedly destroyed vital nuclear infrastructure in Tehran, intensifying tensions in the Middle East.

In response, the Iranian parliament has reportedly taken steps to block the Strait of Hormuz, a crucial maritime route responsible for nearly 20% of global oil shipments. The threat to this oil chokepoint has already driven Brent crude prices higher, with analysts warning of further spikes.

Industry experts warn that this surge in crude prices, combined with Nigeria’s unstable foreign exchange market, could push petrol pump prices to N1,000 per litre in the coming days.

According to Olatide Jeremiah, CEO of PetroleumPrice.ng, private depot operators are preparing to adjust loading costs upward as early as Monday. “If crude hits or surpasses $80 per barrel by tomorrow morning, depot prices could climb to N1,000 per litre,” he said. “That would translate to higher retail prices for Nigerians. Right now, Dangote’s refinery remains the only factor keeping prices from skyrocketing further. When they paused sales briefly last week, prices at private depots surged immediately.”

Jeremiah added that Dangote Refinery has since resumed petrol sales at N880 per litre for bulk orders, helping to stabilize prices temporarily. However, if global prices continue to rise, retail petrol prices may follow suit.

Similarly, the Independent Petroleum Marketers Association of Nigeria (IPMAN) confirmed that the Middle East crisis is contributing to a rise in international crude and refined product prices.

IPMAN's National Publicity Secretary, Chinedu Ukadike, explained, “We’ve seen Brent crude climb from about $66 to roughly $77 per barrel, and it’s still rising. This upward trend, combined with the fluctuating foreign exchange rate, is significantly affecting domestic fuel costs.”

In reaction to last week’s developments, Dangote Refinery increased its petrol price from N825 to N880 per litre. As a result, major retailers such as MRS Oil Nigeria and other Dangote-affiliated stations have adjusted their pump prices to an average of N955 per litre in the South East and North West regions.

Field observations on Sunday showed that pump prices at various filling stations now range from N930 to N960 per litre, depending on location. Lagos remains the least affected, with retail prices hovering around N925 per litre.

Analysts warn that unless global crude prices stabilize and forex conditions improve, the cost of petrol may continue to climb placing an even heavier burden on Nigerian households and businesses.