MRS, NIPCO, Others Emerge on List of Marketers Lifting Fuel From Dangote Refinery

• Petroleum Marketers lifted 518,500 metric tons of automotive gas oil (AGO) and jet A1 from the Dangote Refinery in a span of five months
• This contrasts earlier claims that the refinery is yet to produce any fuel from the facility since it started operations
• Marketers such as Asharami, MRS Oil and Gas, AA Rano, Rainoil, Prudent NIPCO, Aym Shafa, and Danmarna have lifted petrol from the refinery

Legit.ng journalist Zainab Iwayemi has over 3-year-experience covering the Economy, Technology, and Capital Market.

In five months, Petroleum Marketers lifted 518,500 metric tons of Jet A1 aviation fuel and Automotive Gas Oil or diesel from Dangote Refinery (DR), accounting for 60% of the nation's truck-out, according to investigations.

The Dangote Refinery has claimed that local petroleum marketers have not yet utilised the refinery; nevertheless, this fact contradicts their statements.

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According to documents obtained from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Dangote Refinery has been frequented by numerous independent local marketers, such as Asharami, MRS Oil and Gas, AA Rano, Rainoil, Prudent, NIPCO, Aym Shafa, and Danmarna.

These marketers assert that this development demonstrates their unwavering dedication to guaranteeing smooth access to petroleum products throughout the country.

A closer look at the transactions from April to September revealed that marketers lifted 489,500 MT of AGO and 29, 000 MT of Jet A1, which were then dispersed around other Nigerian ports. Of the AGO shipments, 17 went to Lagos, 6 to Warri, 2 to Port Harcourt, and 1 to Calabar. In Lagos, all three of the Jet A1 shipments were released.

The lack of clarity surrounding the availability of Dangote Refinery's Premium Motor Spirit, or gasoline, is still a barrier to consumer preference in the local market, according to the marketers.

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Olufemi Adewole, Executive Secretary, Depot and Petroleum Products Companies Association of Nigeria (DAPPMAN), asserts that the industry must function openly and honestly in order to provide all parties involved with the chance to prosper and make a substantial contribution to the effort to guarantee the accessibility, dependability, and availability of petroleum products across the country.

According to Adewole, the boycott of Dangote Refinery's PMS was unfounded because the government had not yet given petroleum marketers permission to proceed with the refinery's PMS offtake.

“DAPPMAN as evidenced by patronage of various products from the Dangote Refinery by its members believes firmly in meeting Nigeria’s energy needs, and remains aligned to calls for the nation not to end up in a monopoly, which will only jeopardise our economic growth and development,” he said.

Adewole observed that DAPPMAN and other marketers had repeatedly said that price and quality are the two most important factors in the global trading of petroleum products.

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“offtake will in keeping with the laws of demand and supply, gravitate towards sources where products can be bought at a lower price, better quality and seamless accessibility,” he stated.

He gave Nigerians confidence that DAPPMAN will keep up its hard effort to ensure the sector's viability while providing the country with excellent fuel options.

Meanwhile Legit.ng reported that the Nigerian National Petroleum Corporation Limited (NNPCL) has started lifting PMS also known as petrol, from Dangote Refinery today, Sunday, 15 September 2024.

On Saturday, the national oil company announced that at least 300 trucks are stationed at the Lekki, Lagos refinery.

Dangote Refinery Strikes New Deal

Legit.ng reported that the Nigerian National Petroleum Company Limited and the Dangote Refinery are concluding discussions on crude oil sales by the national oil company to the Dangote Refinery in the local currency and the buy-back of refined products from the plant in naira.

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According to Devakuma Edwin, the vice president of oil and gas at the Dangote Refinery, the parties may conclude discussions on the deal soon.

Edwin also revealed that oil marketers had continued to boycott diesel and aviation fuel from the refinery, stating that they also reported the facility’s low-priced fuel to President Bola Tinubu.

Source: Legit.ng