The Dangote Petroleum Refinery has commenced direct petrol supply to select oil marketers, bypassing the Nigerian National Petroleum Company Limited (NNPC). This shift allows marketers to source the product directly from the refinery, while others continue to import petrol. Reports indicate that over 123 million litres will soon enter the market.
Documents from the Nigerian Ports Authority (NPA) confirm that approximately 123.4 million litres of petrol have arrived at two ports to enhance the nationwide gasoline supply. Additionally, dealers are planning to import petrol to supplement the refinery’s output.
According to The PUNCH, a senior official at the refinery stated that marketers can now engage in direct transactions on a willing-buyer, willing-seller basis. “Marketers are coming to the refinery to lift PMS directly, without a third party,” the official, who requested anonymity, said.
While the exact pricing for the product remains unclear, the official noted that marketers would only engage if the price is favorable. “We have agreements with some marketers, and discussions are ongoing. The price needs to be attractive for them to approach us,” he explained.
The situation is improving, particularly since the Federal Government has begun supplying crude to the facility. Another official confirmed that trucks from various marketers were loading petrol directly from the refinery, indicating that direct sales have indeed started.
Due to high demand for petrol both domestically and in neighboring countries, the refinery is currently focusing on producing 53 percent of its petrol from crude oil supplies. This ratio may be adjusted in the future based on demand for other finished products.
When asked about the status of direct purchases from Dangote, a prominent marketer confirmed, “Yes, everyone is in the process. This was anticipated and is a normal business transaction.”
Meanwhile, the Dangote refinery has received four crude oil cargoes from NNPC under a naira-for-crude agreement, delivered within the past three weeks as the Nigerian government began selling crude to local refineries in naira.
