The price of Premium Motor Spirit (petrol) may be on a downward slope if the crude oil prices continue to slip.

The TheNigerian reports that this will also be strengthened as the naira maintains its stability against the dollar in the foreign exchange market.

Oil prices fell about two per cent to a 12-week low this week amid reports that OPEC+ will proceed with a planned oil output increase in April.

Brent futures fell $1.19, or 1.6 per cent, to settle at $71.62 a barrel, while the United States West Texas Intermediate crude fell $1.39, or two per cent, to settle at $68.37.

Reuters reports that those were the lowest closes for Brent since December 6 and WTI since December 9.

It was reported that the Organisation of the Petroleum Exporting Countries and allies like Russia, known as OPEC+, decided to proceed with a planned April oil output increase.

Players in the Nigerian downstream oil sector have said the crude oil price and the exchange rate are the major determiners of the costs of refined petroleum products.

Last week, the Dangote refinery reduced its ex-depot PMS price from N890 per litre to N825.

The Nigerian National Petroleum Company Limited followed suit by matching Dangote’s price, sparking what many described as a price war.

An economist, Paul Alaje, said the price slash of petrol is sustainable and that it should go below N700 per litre considering the current market realities.

With the fall in prices, Alaje said the only challenge will be if the price of crude oil goes up in the international market due to a global crisis.

“It is sustainable to reduce petrol prices to N700 based on today’s reality of the exchange rate. The challenge we may have is a global crisis that makes the price of crude oil go up. If that happens, we are going to see the difference. But for now, we are seeing relative stability,” Alaje said on Channels Television.

He added, “As of today, our computation reveals that PMS should be around N795 to N820 per litre.”

The National President of the Petroleum Products Retail Outlet Owners Association of Nigeria, Billy Gillis-Harry, has insisted that the price of petrol will continue to fluctuate based on the foreign exchange rates and international crude oil prices.

However, as lower crude oil prices mean affordable fuel for an average Nigerian, the current price is below the $74 per barrel projected by the Federal Government in the 2025 budget.

The Nigerian National Petroleum Company Limited has denied claims that it sells substandard petrol with a high burn rate.

In a statement on Saturday by its spokesperson, Olufemi Soneye, the NNPCL said it was reacting to a viral video claiming that its petrol does not last long in fuel tanks.

Our correspondent reports that a video had surfaced online where a content creator claimed he bought a litre of Dangote petrol from MRS filling station in Alapere, Lagos, at N925 and the same litre at NNPC in Ojodu Berger at the rate of N945.

According to him, he poured the fuel into separate power generators, and the one running on NNPC fuel stopped after 17 minutes, while the Dangote petrol lasted until 33 minutes.

But the NNPCL said the petrol purchased from its filling station was from the Dangote refinery.

“The NNPC Ltd strongly refutes the false and misleading allegations made in a viral video circulating online, which claims that NNPC fuel does not last.

“This assertion is baseless and entirely unfounded, originating from unverified and amateur research that lacks credibility, accuracy, and professional oversight,” the statement said.

The company emphasised that its fuel “is carefully formulated with one of the best compositions, ensuring optimal efficiency, durability, and environmental sustainability for consumers.”

Furthermore, the NNPC stressed that a significant percentage of the Premium Motor Spirit sold at its stations in Lagos was sourced from the Dangote refinery.

“It is important to emphasise that a significant percentage of Premium Motor Spirit sold at NNPC retail stations in Lagos—where this deceptive video was created—is sourced from the Dangote Refinery, a strategic partner in promoting local production and energy security.

“Dangote Refinery adheres to strict industry standards, guaranteeing the quality of petroleum products supplied to our consumers,” the NNPC declared.

It added that the “misleading video” represents yet another desperate attempt by economic saboteurs to misinform the public and tarnish NNPC’s reputation.

“We will not tolerate deliberate misinformation designed to undermine our operations and mislead Nigerians.

“Henceforth, NNPC Ltd will take firm legal action against individuals or groups who intentionally spread falsehoods about our brand and operations. Those engaged in such malicious activities will be held fully accountable under the law,” it was stressed.

The energy firm urged the public to disregard such “fabricated content” and rely on verified sources for accurate information, saying it remains steadfast in its mission to ensure fuel availability, affordability, and quality for all Nigerians while maintaining global industry standards.

Jailed Malaysian former Prime Minister, Najib Razak, on Monday won an appeal to serve his remaining prison term over corruption under house arrest.

In an application in April last year, Najib said he had clear information that then King Sultan Abdullah Sultan Ahmad Shah issued an addendum order allowing him to finish his sentence under house arrest.

Najib claimed that the addendum was issued during a pardons board meeting on January 29 last year chaired by Sultan Abdullah that also cut his 12-year jail sentence by half and sharply reduced a fine.

The High Court tossed out his bid three months later.

However, the Court of Appeal, in a 2-1 ruling on Monday, ordered the High Court to hear the merits of the case.

The decision came after Najib’s lawyer produced a letter from a Pahang state palace official confirming that former Sultan Abdullah issued the order.

“We are happy that finally Najib has got a win,” his lawyer Mohamad Shafee Abdullah said. “He is very happy and very relieved that finally, they recognised some element of injustice that has been placed against him.”