How US-Iran Conflict Affects Nigeria’s Fuel Costs

How US-Iran Conflict Affects Nigeria’s Fuel Costs

Nigeria could soon see another rise in petrol and diesel prices as tensions between the United States and Iran unsettle the global oil market.

Energy analysts and downstream operators warn that if crude oil climbs beyond 90 dollars per barrel, local pump prices may increase in response.

The concern follows fresh hostilities in the Middle East, which have stirred volatility in oil trading.

The Strait of Hormuz, a vital channel for global crude shipments, remains a flashpoint. Any disruption along that route could restrict supply and push international prices upward.

Industry experts explain that Nigeria is still exposed to global shocks because local refining depends partly on imported crude.

They note that higher crude costs and rising war risk insurance on vessels would raise landing expenses, forcing refiners to review petrol and diesel prices.

Pump prices currently range from 824 naira to 880 naira per litre in major cities.

They add that while the country may gain more revenue from higher crude sales, consumers could feel the strain through costlier fuel.

Marketers say they are monitoring developments closely, warning that a prolonged crisis could lead to fresh adjustments in the days ahead.