“Don’t Panic”: NNPC Provides Explanation as Fuel Queues Return, Crude Oil Price Hit $93

• The NNPC has issued a statement to address the return of long queues at filling stations across the nation,
• Many fuel stations are under locks as marketers refuse to buy products due to underpricing
• This development comes as crude oil prices soar to $93 per barrel and experts are speculating a change in pump prices is imminent

The Nigerian National Petroleum Company (NNPC) Limited has explained the appearance of fuel queues in some parts of Lagos, Abuja and a few other locations around the country.

In a statement by the retail management on Thursday, October 19, NNPC said the queues are due to reduced Depot loadout in Apapa, Lagos, over a few days.

The oil company advised motorists to avoid panic buying as distribution will normalise over the next few days.

NNPC further assured that the root cause of the queues has been addressed.

Part of the statement reads:

“NNPC Retail Ltd. notes the appearance of fuel queues in some parts of Lagos and a few other locations around the country. This is due to reduced Depot loadout in Apapa, Lagos over a few days, and the root cause has since been addressed.

We assure all Nigerians that there is ample supply with sufficiency of at least 30 days. Motorists are advised to desist from panic buying as distribution will normalize over the next couple of days.”

Experts react as crude oil price hit $93

Experts have reacted to rising crude oil prices in the international market due to heightened tensions in the Middle East, while the pump price of petrol in Nigeria has remained unchanged.

Legit.ng review of global crude prices on Friday, October 20, 2023 showed that Brent crude had hit $93 per barrel.

On Friday morning as at 7:00 am Brent crude was $93.40 per barrel, West Texas Intermediate (WTI) was $90.37 per barrel, and Bonny Light was $93.57 per barrel.

Speaking about prices remaining low despite rising crude oil prices in a market forces regime, Tilewa Adebajo, an economist and corporate finance expert, said that the only reason prices are low is because subsidies are back.

His words:

“We are back to where we started from, subsidy is back regardless of what the NNPC is telling Nigerians. I get my numbers from the world market; one plus one is two. If we are selling low when oil prices is up it means someone is paying a subsidy, the information is out there.”

Dangote Refinery Fails to Begin Production on Deadline

Legit earlier revealed that the Dangote Refinery has missed the proposed production deadline.

During the commissioning of the refinery, Aliko Dangote promised that production would commence.

Source: Legit.ng