Diesel prices at major depots in Lagos have surged sharply, reflecting rising global crude oil prices and tightening supply conditions in the downstream market.
The increase comes as Brent crude climbed to $112.6 per barrel, up 4.22%, pushing up the cost of Automotive Gas Oil (AGO) across local supply chains.
Market checks shows that several depot marketers either withheld sales on March 26 or sold at significantly elevated prices, signalling expectations of further increases. Industry sources say this cautious approach points to a likely price surge at the start of the new trading week.
Among depots that sold, prices rose noticeably between March 26 and March 27. Matrix increased its diesel price from ₦1,770 to ₦1,850 per litre, while Ibeto moved from ₦1,640 to ₦1,740 per litre. African Terminal and Duport also recorded similar upward adjustments, rising from ₦1,620 per litre to ₦1,700, highlighting a consistent upward trend across key supply points in Lagos.
Importers halted sales while some repriced aggressively, reflecting uncertainty in the market. The limited transactions recorded during the period suggest strong expectations of further increases, with many operators holding back volumes. There are growing sentiments and fears that diesel prices could surge further by Monday if current global trends persist.
The surge underscores the continued sensitivity of Nigeria’s diesel market to international crude price movements, as the product remains largely influenced by import parity and exchange rate pressures.
With Brent crude maintaining an upward trajectory and depot supply tightening, industry players expect diesel prices to climb further in the coming days, potentially increasing costs for transportation, manufacturing, and power generation across the economy.