Petrol Price Reduction Looms as Marketers Sign Agreement with 3 Refineries After Dangote’s Deal
- Petroleum marketers are expected to sign Sales Purchase Agreements (SPAs) with some refineries
- Members were encouraged to attend this conference to have firsthand knowledge of the cooperation modalities
- This is coming after Dangote Refinery earlier entered into an agreement with MRS to distribute petrol at a price of N935 per litre
Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.
The Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) would today sign Sales Purchase Agreements (SPAs) with some refineries.
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In its notice to the concerned parties, the association disclosed that the parties would sign the pact in Port Harcourt, Rivers State.
The notice reads in part: “Notice of Signing of Agreements Between PETROAN and some Refineries
“This is to inform you that PETROAN will be signing a Sales Purchase Agreement (SPA) with ALLEGIANCE ENERGY AND POWER LTD, a Refined Petroleum Products Offtake and Sales Agreement with CLARIDGE PETROLEUM COMPANY LTD and a Sales Purchase Agreement (SPA) with OASIS PETROCHEMICAL PRODUCTS LTD respectively…
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“Members are encouraged to make themselves available for this eventful meeting and get first-hand information on the partnership modalities between PETROAN and these companies.
Legit.ng reported that Dangote Refinery earlier entered into an agreement with MRS to distribute petrol at a price of N935 per litre through its retail outlets across the country.
The Group's Chief Branding and Communication Officer, Anthony Chiejina, revealed this in a statement issued on Saturday, December 21, 2024, The Nation reported.
Dangote Refinery reduced the price of petrol for marketers from N970 to N899.50 per litre, aiming to alleviate transportation expenses during the festive season.
Aliko Dangote, founder and president/chief executive of the Dangote Group, was quoted as saying in a statement on Saturday.
“To ensure that this price reduction gets to the end consumer, we have signed a partnership with MRS to sell petrol from its retail outlets nationwide at N935 per litre. This price has already commenced in Lagos, and it will be offered nationwide from Monday.”
In another report, Dangote Petroleum Refinery, Heyden Petroleum and Ardova Plc have partnered to guarantee Nigeria's access to reasonably priced Premium Motor Spirit (petrol).
According to a statement released by the Dangote refinery on Thursday, the businesses signed a bulk purchase arrangement with the refinery after being encouraged by the financial relief offered by President Bola Tinubu's crude-for-naira swap plan.
“This strategic move is designed to ensure a steady supply of petroleum products at affordable prices, further stabilising the nation’s fuel market and enhancing energy security for consumers,” the statement read partly.
Nigerians speak on increase in transportation fare
Legit.ng reported that despite the drop in gas prices, Nigerians have bemoaned the fact that transportation companies have not lowered fares across the country. Instead, these Nigerians said, prices continue to rise.
On December 19, 2024, the Dangote refinery lowered the ex-depot price of its gasoline from N970 to N899.50 per litre.
The downstream industry saw fierce pricing rivalry as a result, and the NNPCL was forced to lower its ex-depot price to N899 per liter.
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Source: Legit.ng
