Peter Uzoho
Nigeria’s Liquefied Petroleum Gas (LPG) market posted its strongest recovery in months in July 2026, with total daily supply rising to 5.332 kilotonnes per day from 5.164 KT/D in June, as domestic production climbed and retail prices fell by nearly 30 per cent in key cities.
Data from the Nigerian Midstream and Downstream Petroleum Authority (NMDPRA) sector factsheet for July 2026, showed domestic sources delivered 4.373 KT/D, or 82.0 per cent of total supply, while imports accounted for 0.958 KT/D, or 18.0 per cent.
The figure is the highest recorded in a long time and pushed local supply well above the 3.9 KT/D consumption benchmark.
The NLNG/SEPNU consortium retained the largest market share, contributing 2.031 KT/D, or 38.1 per cent of total volume via vessel deliveries. Dangote Refinery supplied 0.829 KT/D, representing 15.5 per cent, while other domestic processing plants accounted for 1.513 KT/D, or 28.4 per cent.
Daily consumption stood at 4.4 KT/D against 5.332 KT/D supplied, compared to 4.1 KT/D consumed in June against 5.164 KT/D supplied. According to the fact sheet, demand has now stayed above benchmark for two consecutive months, with July’s supply growth keeping pace and pointing to a market gradually normalising after the disruption of April and May 2026.
The improved supply translated to immediate retail relief. In Lagos, average pump price dropped to roughly N1,235/kg in July from about N1,776/kg in June, a decline of nearly 30 per cent. Ibadan fell from N1,775/kg to N1,540/kg, Calabar from N1,550/kg to N1,410/kg, Kano from N1,575/kg to N1,550/kg, and Enugu from N1,625/kg to N1,550/kg. Sokoto was the lone exception, edging up slightly from N1,550/kg to N1,575/kg.
The correction followed weeks of intervention after prices surged to as high as N2,500/kg in parts of the country by mid-June, up from between N1,500 and N1,700/kg around May 25.
Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo had directed marketers to increase imports and mandated NMDPRA to intensify engagement with producers, importers and marketers around June 17.
An emergency stakeholders’ meeting convened in Abuja by the minister weeks later helped stabilise the market, with national LPG supply sufficiency rising from roughly 11 days to 22 days, a shift reflected in July’s data.
Nigeria is edging closer to sustainable domestic production growth, with NLNG/Seplat and Dangote now anchoring more than half of total supply. Additional feedstock is expected as investment in gas production, aggregation and processing deepens.
However, volatility remains as domestic supply slipped by roughly 10 per cent month-on-month in June 2026, and a meaningful share of production continues to leak offshore through export-oriented arrangements.