Nigerian petroleum marketers and retailers have announced a dramatic retail price increase for Premium Motor Spirit (PMS) starting today, Tuesday, and continuing on Wednesday, March 3 and 4, 2026 — a move that experts say is being intensified by global oil market volatility sparked by the ongoing conflict involving the United States and Iran.
The hike follows Dangote Refinery’s adjustment of its gantry price for petrol on Monday.
According to reports, the $20 billion refinery raised the fuel gantry price to N874 per liter, citing the Iran–United States–Israel conflict, which has driven up global crude oil prices.
Amid ongoing global crude oil price volatility, Dangote Refinery has raised its domestic petrol prices by at least N75.
Reports indicate that tensions between Iran, the United States, and Israel escalated after a strike on Friday night reportedly targeted top Iranian leaders, including Ayatollah Ali Khamenei. In response, Iran launched attacks on U.S. allies in the Middle East, including Saudi Arabia.
On Monday, Iran targeted oil facilities in Saudi Arabia and Qatar, prompting the suspension of shipping operations in the Strait of Hormuz. Saudi Arabia’s largest refinery, the Saudi Aramco facility in Ras Tanura, was hit by an Iranian drone, resulting in its shutdown. Similarly, the attack on QatarEnergy led to the suspension of LNG production, potentially further straining the global gas market.
Crude oil prices surged on Monday, with Brent trading at $78.50 per barrel and West Texas Intermediate at $71.84 per barrel. Regarding natural gas, Goldman Sachs warned that if the Middle East crisis continues, LNG prices for Europe and Asia could rise to $25 per million British thermal units (MMBtu).
Domestic retail fuel prices stood at N870 and N899 per liter on Monday night. However, a manager at the Dangote-backed MRS filling station in Abuja confirmed that new retail prices would take effect from Tuesday.
“There will be price fluctuation and increase. That is the ‘gain’ we are getting from the Iran-US-Israel war.
“Although, we have surpassed the issue of scarcity.
“Because crude oil in the international market is going up, so, in line with that standard, Dangote has increased their price this evening.
“The pump price will depend on the transportation and logistics. It will cost about N980 to N1,000.
“There should be no panic buying. We are sure that Dangote will continue to supply petroleum products. The federal government will continue to supply them crude oil in naira.
“As it is now, you will find that vessels carrying crude oil from one nation to another will be very, very difficult to move, especially in the Gulf area, which will definitely put pressure on the world supply of crude,” he told.
On his part, Billy Gillis-Harry blamed the ongoing hostilities in the Middle East for the domestic petrol hike.
“Well, it’s very easy to understand. You know that crude oil price is rising as hostilities are escalating in the Middle East.
“Iran being a major supplier of crude oil, if there are disruptions in operations, they are obviously going to affect global crude prices.
“And prices will hike. So it won’t surprise me that our local refineries in Nigeria will immediately respond to that by hiking prices,”he told.
