Dangote Will Only Sell Petrol To NNPC — FG
Sales And Distribution Commence Today
Federal Government of Nigeria, through the Minister of Finance and Coordination Minister of the Economy, Wale Edun, revealed on Friday that the distribution of Premium Motor Spirit (petrol) will start on Sunday.
This disclosure was made by the Executive Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji, who represented the Minister during the briefing at a press conference in Abuja.
He stated that all proposed accords have been reached and the loading of the first batch of the petroleum product is set to take place.
“I am glad to announce that all agreements have been completed and loading of the first batch of PMS from the Dangote Refinery will commence on Sunday, September 15,” Edun said.
In the statement, the minister revealed that the Nigerian National Petroleum Company (NNPC) Ltd is ready to supply about 385,000 barrels of crude oil daily to Dangote Refinery from next month.
“From October 1, NNPC Ltd. will commence the supply of about 385,000 bpd of crude oil to the Dangote refinery, to be paid for in naira,” he said.
“In return, the Dangote refinery will supply PMS and diesel of equivalent value to the domestic market, to be paid in naira.”
NNPC TO BECOME SOLE BUYER OF DANGOTE REFINERY PETROL
Wale Edun also stated that it is expected of the Dangote Refinery to sell petrol only to off-takers, the NNPC, indicating that the Oil marketers will only have purchase the product from NNPC.
“Diesel will be sold in naira by the Dangote refinery to any interested off-taker. PMS will only be sold to NNPC, NNPC will then sell to various marketers for now,” he noted.
Edun’s claim contradicts that of the National Oil body’s claim in September it would not be the only distributor of the Dangote refinery’s petroleum product.
He stressed further by saying all costs accrued in terms of regulation relating to the Nigerian Port Authority (NPA), Nigerian Maritime Administration and Safety Agency (NIMASA) and others will be settled in Naira.
“We are also setting up a one-stop shop that will coordinate service provision from all regulatory, and security agencies, and other stakeholders to ensure a smooth implementation of this initiative. This will be located in Nigeria Ports Authority (NPA), Lagos,” Edun said.
“The technical committee that worked to flesh out this initiative will transition to an implementation execution and monitoring committee that will be working out of Lagos for the next three to six months.”
CRUDE OIL SALE IN NAIRA AIMED AT EASING COST, PRESSURE ON NAIRA
Addressing the issues relating to sale approval to local refineries in Naira and also buying from them in Nigeria, the Minister said the policy would ease the increased pressure on the local currency.
It can be recalled that on 29th July, 2024, a proposal from President Bola Tinubu was approved by the federal executive council (FEC) which stated that NNPC must start to trade with Dangote and other local refineries in Naira.
A move, as disclosed by the minister, to eradicate exorbitant transactional charges and boost the availability of the product in across the country.
He added that the technical committee, set up by the federal government, has been working hand-to-hand with the NNPC and Dangote Refinery to coin out suitable means to implement the newly approved modality by the FEC.
He concluded by thanking President Bola Tinubu for spearheading the initiative. He assured the President of their accountability and that the technical committee is committed to work and implement his vision. Dangote Will Only Sell Petrol To NNPC — FG
300 Trucks Stationed, Ready To Convey Dangote Refinery Petrol
In a press statement released by Nigerian National Petroleum Company (NNPC) Ltd. on Saturday, it indicated that 300 trucks are on ground at the Dangote refinery, ready to convey its petroleum product.
On Saturday, it was confirmed by Olufemi Soneye, the company’s chief corporate Officer, that the trucks are aground. Waiting to be loaded from Dangote Refinery on Sunday.
This disclosure was made via the verified X account, Soneye posted: “NNPC Ltd. trucks are arriving at the Dangote Refinery in preparation for the scheduled petrol loading on Sunday, September 15, 2024.
“By the end of today, at least 300 trucks will be stationed at the refinery’s fuel loading gantry.
Also, in a post on NNPC’s verified X handle, the national oil body disclosed the arrival of the trucks in preparation of Sunday’s loading.
“In preparation for the Dangote Refinery’s scheduled petrol loading on Sunday, September 15, 2024, NNPC Ltd. has been mobilizing trucks to the refinery’s fuel loading gantry in Ibeju-Lekki.
“As of Saturday afternoon, NNPC Ltd. had deployed over 100 trucks, with hundreds more en route,” NNPC Ltd. wrote on X.
We can vividly recall that, last week, Aliko Dangote, the Chairman and President of Dangote Group announced the production and availability of the product. Dangote Will Only Sell Petrol To NNPC — FG
NNPC To Buy Petrol From Dangote Refinery At ₦766 Per Litre
In the recent weeks, many questions were raised from various quarters over the price of Dangote Refinery petrol but it is now of public knowledge that Dangote refinery will only sell its petroleum product at ₦766 per litre citing the sole use of Naira in the supply of crude oil to the refinery as the main factor.
“What we are going to see based on the deal between NNPC and Dangote is similar to the DSDP (Direct Sale of crude oil and Direct Purchase of petroleum products) transactions that used to exist between NNPC and foreign refineries in the past.
“What we are going to see based on the deal between NNPC and Dangote is similar to the DSDP (Direct Sale of crude oil and Direct Purchase of petroleum products) transactions that used to exist between NNPC and foreign refineries in the past.
“And this has really impacted positively on the price of petrol that Dangote is selling to NNPC, because the cost is around N766 per litre. But I can’t tell how much NNPC is going to sell to marketers now,” said a marketer.
Reactions, from various segments, trail Dangote fuel price as one of the senior officials at IPMAN stated that the marketers could easily buy the product at N766 per litre and sell it at willing price after adding the cost of transportation and other accrued costs.
He said, “Give and take, we can sell at N790 in Lagos. In the far north, it may be N820 per litre because of the distance.”
It is a relief that Premium Motor Spirit (PMS), known as petrol, is finally made available in the country after months of uncertainty and unavailability of the products.
Nigerians can now go all out about their daily business as petrol will be presented on sale at all filling stations across the country starting from tomorrow.
Dangote Will Only Sell Petrol To NNPC — FG
