The Nigerian National Petroleum Corporation (NNPC) may soon reduce the pump price of petrol at its depot nationwide.
According to a report from Thisday, an authoritative source at NNPC said this was possible due to a consistent drop in the historical price of petroleum cargoes.
The cargoes used to go for $500 to $600 per metric tonne but have now dropped to an average of $440 per metric tonne.
The cargo price is one of the key elements often considered by the Petroleum Products Pricing and Regulatory Agency (PPPRA) in its calculation of the template for petrol pump price, the source said.
This, he noted, has been on the downward trend and could necessitate the corporation reviewing its pump price to reflect the market realities.
The other key element is the foreign exchange market, which has been left floating by the Central Bank of Nigeria (CBN) of late, he added.