Petrol price rises to N925 in Lagos as MRS increases pump rate

MRS Oil Nigeria Plc, a leading distributor of petroleum products sourced from the Dangote Refinery, has announced a fresh increase in the pump price of Premium Motor Spirit (PMS), popularly known as petrol, pushing the cost per litre in Lagos from N885 to N925, effective Saturday, June 21.

The development comes as global oil prices surged nearly 3 per cent over the past week, driven by escalating geopolitical tensions in the Middle East, particularly between Israel and Iran — a conflict that analysts warn could send shockwaves across global energy markets.

The price adjustment was disclosed via MRS Oil’s official X (formerly Twitter) handle, though the company did not provide a specific explanation for the hike.

It instead urged customers to “check updated pump prices across all MRS stations nationwide.”

Industry analysts have pointed to the deteriorating security situation in the Middle East as a key driver behind the increase.

Since June 13, Israel and Iran have exchanged multiple military strikes, including drone and missile attacks, with fears mounting over a full-blown regional war.

The tension reached new heights on June 22, when U.S. President Donald Trump confirmed that American forces had carried out precision airstrikes on three of Iran’s critical nuclear facilities — Fordow, Natanz, and Isfahan.

Trump described the operation as a “spectacular military success,” marking a significant escalation following failed diplomatic talks.

Energy economist Dr. Tunde Olayemi noted: “Any military operation involving major oil-producing nations like Iran tends to rattle oil markets. The risk premium increases instantly, as traders anticipate potential supply disruptions in the Persian Gulf — the world’s busiest oil shipping lane.”

 READ ALSO: Dangote refinery raises petrol price to N880/litre

As a result, Brent crude prices soared past $93 per barrel — their highest level since January — while WTI futures followed a similar trajectory.

This price hike is a sharp reversal from the N875 per litre rate set by Dangote Petroleum Refinery just a month ago, which had been hailed as a move toward stabilizing pump prices nationwide.

Back then, Lagosians were paying N890, while rates in the North-East and South-South reached N920.

The Dangote Refinery — with a capacity of 650,000 barrels per day — has been central to Nigeria’s hopes of reducing its dependence on imported fuel. Its full-scale operations were expected to exert downward pressure on prices and relieve the strain on the country’s foreign exchange reserves.

However, as energy policy analyst Sarah Ajayi explains, external shocks are still a major vulnerability:

“While local refining reduces the exposure to logistics costs and currency swings, it doesn’t completely isolate Nigeria from international oil market dynamics. As long as crude prices climb, refined product costs will respond accordingly — even if they’re produced locally.”