The Petroleum Products Pricing Regulatory Agency, PPPRA, on Monday, June 1, 2020, announced the reduction in the pump price of the Premium Motor Spirit, PPPRA, to a band of N121.50 to N123 per litre.
According to its guidelines price for this month, the ex-depot price band is N100.13 and N108. 13 per litre while ex-depot for collection is N108.78 and N111.78 per litre.
In a memo entitled: “A.4/9/017/C.2/IV/701 31“, the agency urged marketers to operate within the indicative prices.
“Please recall the recently approved pricing regime which became effective 19th March 2020 and the provision for the establishment of a monthly price band within which Petroleum Marketers are expected to sell PMS at the retail stations.
“After a review of the prevailing market fundamentals in the month of May and considering Marketers’ realistic operating costs, as much as practicable, we wish to advise of a new PMS guiding pump mice with a corresponding ex-Depot price for the month of June 2020, as follows: “Price Band: N121. 50 N123. 50/Litre Ex-Depocorresponding. 13 N104. 13/Litre Ex-Depot for Collection: N109. 78 N1 1 1. 78/Litre,” the memo read.
In a related development, the oil market yesterday took an initially neutral view on the non-member countries of the Organisation of Petroleum Exporting Countries (OPEC+) deliberations that could result in the producers group announcing a short-extension to unprecedented output curbs.
West Texas Intermediate, WTI, for July delivery fell 0.6per cent to $35.27 a barrel while Brent for August delivery fell 0.2per cent to $37.76 a barrel.