Naira-for-crude Deal Still in Place as NNPCL Sells 84 Million Barrels to Dangote Refinery

• The Nigerian National Petroleum Corporation has confirmed that the Naira-for-crude deal is still in place
• To corroborate this claim, it revealed that it has supplied three months worth of crude to the Dangote Refinery
• There are also insights into what went wrong in the existing deal and what will be fixed in ongoing negotiations

Legit.ng journalist Ruth Okwumbu-Imafidon has over a decade of experience in business reporting across digital and mainstream media.

The Nigerian National Petroleum Company Limited (NNPCL) has reiterated that the naira-for-crude deal is still in place, contrary to the reports in the media.

The NNPCL also disclosed that just yesterday, it supplied the Dangote Refinery with 84 million barrels of crude oil.

This could translate to 130 days' worth of crude oil supply for the Dangote Refinery at 650,000 bpd full capacity, or seven months' supply at the current 400,000 bpd capacity.

Read also

NNPC begins new negotiations with Dangote Refinery, clarifies end of naira for crude oil deal

This is coming at a time when other local refineries are complaining of the non-availability of crude oil to carry out refining activities.

FG introduces Naira-for-crude deal

Late last year, the federal government initiated a six-month naira-for-crude deal with Dangote Petroleum Refinery and other domestic refineries.

This deal was to ensure that the government supplies its share of the produced crude oil to the local refineries, with Dangote Refinery to get about 385,000bpd in exchange for naira payments.

On Monday, March 10 2025, news made the rounds that the NNPCL had terminated the deal and opted out of crude supplies to the local refineries.

But the NNPCL has debunked this statement, noting that only yesterday, 84 million bpd were supplied.

The NNPCL says the deal was to last six months, and as it ends, a new one is being renegotiated.

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Tinubu’s govt makes clarification on naira-for-crude policy

FIRS says Naira-for-crude deal still on

Still on the matter, the Federal Inland Revenue Service (FIRS) Executive Chairman, Zacch Adedeji, has stated that the naira-for-crude policy is still in place.

Adedeji, who doubles as the Technical Sub-committee chairman in the Naira-for-crude policy, said that the policy framework guiding the deal is still in force.

The statement says that no decision has been made to terminate the deal at the policy level, and neither is it being considered.

The statement read;

“After implementing the policy for some months, evidence abounds that it is the right way to go and it will continue to help the economy.”

NNPCL reviews contracts as refineries fail to meet up

Discussions are ongoing to draw up a new contract, according to the NNPCL Chief Corporate Communications Officer, Olufemi Soneye, but there are no mentions of what currency the reviewed contract will be based upon.

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NNPC breaks silence as its naira-for-crude deal with Dangote refinery, others ends

In the meantime, supply will continue at the already agreed terms and conditions, the spokesman said.

An anonymous source within the state-owned oil company told the GUARDIAN that the review became necessary as the Dangote Refinery failed to meet the requirements of supplying the agreed petroleum products.

NNPC ends 6-months naira-for-crude deal

In related news, NNPC Limited clarified the end of the naira for crude agreements with local refineries, including the Dangote refinery.

The oil company explained that it did not arbitrarily end the deal, as the agreement was only for six months.

It added that it has begun negotiations for a new deal that would continue to boost local refining and reduce dependence on FX.

Source: Legit.ng