Dangote Refinery Begins Direct Petrol Sale to Marketers after Reaching New Deal

• The Dangote Refinery has begun selling petrol directly to oil marketers in Nigeria to ease supplies
• The move came as Dangote Refinery ended its deal with the Nigerian National Petroleum Company Limited (NNPC)
• It also followed the development that other marketers imported about 123.4 million litres of petrol to augment supplies

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.

The Dangote Petroleum Refinery has begun supplying petrol to some oil marketers without resorting to the Nigerian National Petroleum Company Limited (NNPC).

The development comes as marketers strengthen their move to purchase the product directly from the facility. While others imported petrol, reports say over 123 million litres will hit the market in the coming weeks.

Marketers import 123 million litres of petrol

Legit.ng earlier reported that four vessels loaded with PMS arrived at the Lagos and Calabar ports between Friday, October 18 and Sunday, October 20, 2024.

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Marketers speak as NNPC sells crude oil to Dangote Refinery in naira

According to the report, the Nigerian Ports Authority (NPA) document showed that about 123.4 million litres of petrol were docked at the two ports to boost the nationwide gasoline supply.

Also, an earlier report said dealers intend to import the product to supplement supply from the Dangote Refinery.

Dangote Refinery sells petrol at an affordable price

Punch reports that a senior official at the 650,000bpd-capacity refinery confirmed that marketers can purchase petrol directly from the refinery on a willing-buyer, willing-seller arrangement.

The report said marketers are already coming to the plant to lift petrol and not via a third party.

The source also said that the price at which the refinery sold the product to the marketers was favourable.

The source reportedly said that the refinery management reached an agreement with some marketers. However, the source refused to disclose the price.

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New petrol prices as marketers import 123 million litres, continue talks with Dangote Refinery

Dangote Refinery produces more PMS

Also, a refinery official said that some trucks parked at the facility belong to the marketers who have begun lifting the product.

He said the refinery has concentrated on ensuring 53% of petrol production from its crude supplies due to the high demand for PMS in Nigeria.

However, the development differs from the claims from some quarters, where the refinery will not sell directly to marketers except when the deal with the NNPC is terminated.

NNPC sells crude oil to Dangote Refinery in naira

Legit.ng previously reported that the Dangote refinery had received four crude oil cargoes from the Nigerian National Petroleum Company Limited (NNPC) under the naira-for-crude deal.

The cargoes were reportedly delivered to the facility in the last three weeks when the Nigerian government began selling crude to local refineries in naira.

Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng

Source: Legit.ng