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Prices of Petrol, Diesel, LPG Will Continue to Fall – NMDPRA

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The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has said that the prices of petrol, diesel, and Liquefied Petroleum Gas (LPG) will continue to decline across Nigeria.

Its Chief Executive Officer, Mr. Saidu Mohammed, stated this at the weekend in Ogbele Community, Ahoada East Local Government Area of Rivers State, during the inspection of facilities belonging to Aradel Holdings Plc.

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Mohammed, who attributed the expected price reduction to rising supply, increased competition, and sustained private-sector investment in the oil and gas sector, urged the private sector to pump between $30 billion and $50 billion into the midstream petroleum sector.

Highlighting the expected reduction in energy prices, the NMDPRA boss said Nigerians were gradually moving towards affordable energy as improved supply continues to drive price stability.

“The more supply we have, the lower the price. This is already evident as petrol has dropped from about N1,000 to N800 per litre due to competition,” he said.

Mohammed explained that the removal of fuel subsidy has allowed market forces to function properly, leading to efficiency across the downstream sector.
“Sustained competition, rather than subsidies, will guarantee adequate supply of petrol and gas at affordable prices for Nigerians,” Mohammed added.

The agency boss stressed the need for additional refineries with advanced conversion capacity to produce diesel, fuel oil, naphtha, LPG, and petrol.

The NMDPRA chief executive said Nigeria’s ambition extended beyond local consumption to exporting petroleum products to Africa, Europe, and the Americas.

“However, domestic demand must first be adequately met by local operators before large-scale exports can commence,” he said.

Mohammed noted that President Bola Ahmed Tinubu strongly supported a free-market economy, recalling that subsidy removal was the President’s first major policy decision.

According to him, the policy unlocked private sector participation and stimulated investments across the oil and gas value chain.

Assessing the condition of state-owned refineries, Mohammed said their operational conditions largely remained the responsibility of the Nigerian National Petroleum Company Limited (NNPCL).

NMDPRA, he said, was engaging NNPCL to ensure the delivery of crude oil and petroleum products to the Port Harcourt and Warri refineries reserves.

“Delivery of products to the reserves and restoring loading activities at the refineries will boost local economies and revive product distribution within host communities.

“Once product loading resumes, Nigerians will begin to feel the economic impact, even before full refinery operations,” he said.

Mohammed added that Nigeria’s economic growth depended heavily on the rapid expansion of locally owned midstream assets.

Advising the private sector to pump between $30 billion and $50 billion into the midstream petroleum sector, Mohammed said: “I said it two days ago that the midstream sector alone will require about $30 billion to $50 billion investment. Those investments can only come from the private sector, not the government anymore.

“So, as an authority, as a regulator, what we will do is to make sure that we lay down the desired enablers for them to operate and attract the investment that Nigeria needs.

“But first of all, we have to improve how we do things and the improvement can be seen here in a world-class facility being operated by Nigerians. That is the way to go.”

The NMDPRA said the government agency was impressed to see fully-integrated facilities designed, built, operated, and fully-funded by Nigerians

He said the facilities inspected during his three-day operational tour across Rivers State demonstrated that Nigerians had the capacity to design, finance, build, and sustainably operate world-class energy infrastructure.

Mohammed singled out Aradel Holdings, stating that the company had proven that Nigerians could efficiently operate a refinery sustainably without foreign operatorship.

The NMDPRA announced that Aradel’s ongoing expansion would make it possible to load petrol from its facility before the end of next year.

“Aradel has supplied gas to the Nigeria Liquefied Natural Gas (NLNG) for about 13 years, alongside operating an 11,000-barrels-per-day refinery.

“The company also runs a virtual gas pipeline, producing compressed natural gas distributed across several parts of Nigeria,” he said.

Mohammed called for more investments in refining, noting that the Dangote Refinery alone cannot meet domestic, continental, and global demands.

“Aradel has supplied gas to the Nigeria Liquefied Natural Gas (NLNG) for about 13 years, alongside operating an 11,000-barrels-per-day refinery.

“The company also runs a virtual gas pipeline, producing compressed natural gas distributed across several parts of Nigeria,” he said.

Mohammed called for more investments in refining, noting that the Dangote Refinery alone cannot meet domestic, continental, and global demands.

He said: “We are not overwhelmed by rising demand, as the company is already expanding its refining capacity beyond current levels.

“We see the demand; we see the market. All we are trying to do is to continue to make those investments that allow us to meet the demand. The demand is very huge.

“We have received support from the regulator. We have seen all kinds of support that continues to make our operations grow from one stage to another.

“It is a great and worthy space for fellow investors and operators to come into. The more we are, the more we build on the redundancy and the resilience of our energy security as a nation.

“We are committed to that course. We are looking at our capacity, and we are just projecting to grow it from one level to another. We are not overwhelmed, but we are doing our best to be part of that solution for energy security.

“Aradel aims to be part of the long-term solution to Nigeria’s energy supply challenges. Nigerians should expect continued scaling, local value addition, and prioritisation of domestic energy needs.”

Energy

U.S. to Tweak LNG Safety Rules for Foreign Markets

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With a view to accelerating infrastructure development and reducing operating costs, the U.S. Department of Transportation is contemplating a new set of safety regulations for liquefied natural gas facilities.

This is coming as American exporters prepare for another major expansion in global natural gas markets.

It was gathered that the proposal, issued by the Pipeline and Hazardous Materials Safety Administration (PHMSA), would modernize federal LNG safety requirements by incorporating standards developed by the National Fire Protection Association.

READ ALSO: Investors Embrace DPRP IPO Globally, 120 Countries, 54 African Nations

The changes are to address facility location, engineering, construction, operations, and maintenance, with greater flexibility to adopt newer technologies.

Transportation Secretary, Sean Duffy estimates that the updated framework could save LNG operators approximately $100 million annually while maintaining safety protections. The projected savings are an agency estimate, and the proposal has not yet become a final regulation.

The initiative comes as the United States strengthens its position as the world’s largest LNG exporter. American export capacity is expected to increase by approximately 100 million metric tons annually by the end of the decade, supported by projects already under development and additional planned investments.

Global LNG demand has also become more sensitive to geopolitical disruptions. Interruptions to Middle Eastern gas shipments associated with the conflict involving Iran have encouraged international buyers to evaluate alternative suppliers and diversify long-term procurement arrangements.

U.S. LNG developers have responded with additional investment commitments. Projects representing more than 50 million metric tons of annual capacity have reached final investment decisions since the beginning of 2025.

Major exporters, including Cheniere Energy and Venture Global, are pursuing additional development opportunities as federal policy places greater emphasis on expanding domestic energy infrastructure.

However, regulatory modernization does not eliminate the financial or operational challenges associated with LNG construction.

Developers must still secure the Federal Energy Regulatory Commission (FERC) approvals, complete environmental reviews, arrange financing, and address potential legal challenges. Pipeline connections, specialized equipment availability, construction costs, and long-term customer contracts also influence project schedules.

Delfin LNG, which is developing a floating export facility, illustrates the importance of infrastructure safety approvals. Its associated pipeline has not received publicly confirmed PHMSA clearance to resume operations following an explosion earlier this year.

Separately, FERC has proposed a streamlined authorization framework for certain modifications and expansions at existing LNG facilities, including activities that could qualify for automatic approval or shortened review periods.

For energy investors, the combined regulatory initiatives could improve development visibility and reduce some costs, although their financial impact will depend on final requirements and individual project circumstances.

Additional LNG export capacity could support demand for U.S. natural gas production, particularly from major producing regions connected to Gulf Coast terminals.

Midstream operators, engineering companies, compression equipment manufacturers, and construction contractors could also benefit from continued infrastructure investment.

At the same time, greater export demand may increase domestic natural gas price sensitivity to international markets, creating different implications for producers, utilities, and industrial consumers.

Investors will be monitoring the final PHMSA regulations, FERC permitting developments, LNG project financing decisions, and the pace at which proposed export capacity enters commercial service.

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Energy

NALPGAM Preaches Innovation, Safety to LPG Operators

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GAS: New Temile/Hyundai LPG Vessel to bring down high cost of cooking gas in Nigeria-NCDMB

The Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) has urged operators in Nigeria’s liquefied petroleum gas (LPG) industry to strengthen safety standards, improve regulatory compliance and adopt digital technologies to reduce operational losses and drive business growth.

The association said improved operational practices would help protect investments, enhance efficiency, build consumer confidence and support the sustainable expansion of C.

The call followed its 2026 webinar, themed “Downstream LPG Operational Excellence and Compliance,” which brought together industry operators, regulators and other stakeholders to discuss safety risks, market volatility, operational inefficiencies and regulatory requirements in the downstream LPG sector.

Speaking at the event, NALPGAM National President, Edu Inyang, said the industry’s long-term growth would depend on more than increased consumption and supply volumes, stressing the need to embed safety and operational efficiency in everyday business practices.

“The future of Nigeria’s LPG industry cannot be achieved by increasing volumes alone. We must grow safely, responsibly, efficiently and sustainably. Safety is not an occasional campaign; it must become a continuous industry culture,” he said.

READ ALSO: Tinubu Promises to Boost Local Production with NNPC Refineries

A major outcome of the webinar was a proposal for a NALPGAM Standard of Operational Excellence, anchored on four principles: safe and well-maintained facilities, competent and adequately trained operators, regulatory-compliant processes, and consumer protection.

Participants urged operators to integrate safety into routine operations, strengthen preventive maintenance and comply with licensing and incident-reporting requirements.

They also called for an end to unsafe practices, including unauthorised propane blending and illegal decanting, warning that such activities could expose businesses and consumers to avoidable risks.

Inyang said compliance should be viewed as a means of strengthening business performance rather than merely fulfilling regulatory obligations.

“Compliance is not merely a regulatory burden; it is a business advantage. Well-managed LPG operations reduce accidents, improve efficiency, protect investments and strengthen public confidence in our industry,” he said.

The webinar also highlighted the role of digital technologies in improving operational efficiency and accountability across the LPG value chain.

Participants identified smart filling systems, automated tank gauges, load cells, flow meters and vehicle-tracking systems as practical tools for monitoring product movements, reducing losses and improving inventory management.

Wider adoption of these technologies, they said, could help operators strengthen operational controls, minimise discrepancies and improve the reliability of LPG distribution.

The discussions come as Nigeria seeks to expand LPG consumption to approximately five million tonnes annually by 2030, a target that will require increased investment, stronger distribution networks and wider consumer access.

Stakeholders called for greater industry participation in the Decade of Gas LPG penetration programme, alongside stronger collaboration to expand access, improve cylinder traceability and promote certified local manufacturing.

The NALPGAM also urged regulators and programme coordinators to involve its members more actively in implementing LPG penetration and cylinder recirculation initiatives.

According to the association, its members’ nationwide presence and proximity to consumers could help improve the reach and effectiveness of programmes designed to increase LPG adoption.

Reiterating the association’s position, Inyang said the industry must establish clear operational standards that protect consumers while supporting efficient and sustainable business practices.

“Our aspiration is clear: every LPG facility must be safe and properly maintained, every operator competent and adequately trained, every process compliant, and every customer protected. This is the standard of operational excellence we must collectively pursue,” he said.

The NALPGAM reaffirmed its commitment to working with government agencies, regulators and industry stakeholders to develop a safer, more efficient and competitive LPG market.

The association maintained that embedding safety, strengthening compliance and deploying appropriate technologies would be critical to improving operational performance and supporting the long-term growth of Nigeria’s LPG industry.

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Energy

Fears of Fresh US Strikes on Iran Fuels Crude Price Surge

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OPEC Appoints Next Secretary General, Effective August 2022

Fears of renewed US military strikes on Iran and escalating threats to energy infrastructure across the Middle East heightened concerns about global crude supplies have pushed-up crude oil prices in the global market.

These factors pushed crude oil prices over $117 a barrel in the global market, even as oil theft and pipeline losses in Nigeria fell by 82.9 percent in five years, from 102,900 barrels per day (bpd) in 2021 to 17,600 bpd in the first seven months of 2026, amid fresh concerns about further increases in lost volumes after years of decline.

Nigeria’s oil benchmark, Brent crude, climbed by about 3.5 percent to cross $117 a barrel during trading before easing to just above $116, still up approximately 2.7 percent.

READ ALSO: Navy Uncovers 132,000 Litres of Stolen Crude Oil in Bonny

The latest rally followed reports that Washington was considering fresh military strikes against Iran after the November 3 midterm elections, raising concerns that the conflict, now in its eighth month, could escalate further rather than move towards a diplomatic resolution.

Iran had threatened to attack oil facilities, undersea cables, data centres and artificial intelligence infrastructure across the Gulf if the United States and Israel launched a new offensive against the country.

Recall that Brent crude traded at about $72 a barrel in February, before the war began, but surged to about $126 a barrel by the end of April as the conflict intensified and concerns mounted over supply security.

Tensions rose again during the week following claims by Iran’s Islamic Revolutionary Guards Corps (IRGC) that it struck four commercial vessels in the Strait of Hormuz on Wednesday.

The US ordered some diplomats and family members of American government employees to leave Saudi Arabia, which had faced continued attacks by Houthi rebels operating from Yemen.

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