Nigeria’s Dangote Petroleum Refinery has raised its ex-depot price for Premium Motor Spirit (PMS) by N101 to N875 per litre, up from N774, in direct response to sharp volatility in global crude oil markets fueled by the escalating U.S.-Israel military conflict with Iran.
A senior refinery official confirmed the adjustment to The PUNCH on Monday, 2 March, 2026 attributing the increase to “changes in global crude fundamentals and replacement costs.”
The move follows the refinery’s immediate suspension of petrol loading operations at midnight on March 2, after international crude prices surged past the $80 per barrel mark overnight. Diesel loading continued unaffected.
The price revision, now reflected on petroleumprice.ng, has already rippled through the downstream sector, with multiple private depot owners halting PMS sales nationwide.
The surge in crude prices stems directly from the ongoing war in the Middle East, now in its third day. U.S. and Israeli strikes on Iran, reportedly targeting key facilities and resulting in the death of Iran’s supreme leader, have prompted Iranian retaliatory missile barrages and attacks on tankers near the Strait of Hormuz.
Tanker traffic through this critical chokepoint, which handles about one-fifth of global oil shipments, has effectively halted, driving Brent crude up by 6-10% in recent sessions to trade around $77-79 per barrel on March 2, with peaks nearing $82 earlier in the day.
Analysts warn of further escalation, sustained hostilities could push prices toward $90 or even $100 per barrel if disruptions persist, including potential attacks on regional oil infrastructure in Saudi Arabia or elsewhere in the Gulf.
The timing compounds economic strain for Nigerian consumers already grappling with inflation, transportation costs, and living expenses.
While Dangote‘s refinery represents a step toward reducing reliance on imported fuel, experts emphasize that global oil market shocks, amplified by geopolitical crises like the Iran conflict, continue to dictate local pump prices in the short term.
