The Dangote refinery might start exporting its petrol because the Nigerian National Petroleum Company (NNPC) has refused to buy it unless it’s cheaper than international market prices. The NNPC stated it will only purchase fuel from Dangote if its price is lower than local pump prices, contradicting Dangote’s earlier expectation that the NNPC would be its primary buyer.…..For More READ THE FULL ARTICLE HERE ▶▶
Thank you for reading this post, don't forget to subscribe!The NNPC clarified that domestic refineries, including Dangote’s, are free to sell their products directly to marketers on a willing buyer-willing seller basis. The company also denied claims by the Muslim Rights Concern (MURIC) that it was undermining Dangote’s refinery, emphasizing that pricing is influenced by global market forces and not by NNPC’s policies.
Dangote had expected that his refinery would start supplying petrol within 48 hours of the NNPC’s readiness. He expressed hope that his refinery would help alleviate fuel shortages and reduce queues at stations. However, he noted that pricing and distribution were under NNPC’s control, not his.
Due to stalled negotiations, Dangote’s Vice President, Devakumar Edwin, suggested that if local sales fail, they might export petrol, as they already do with other products like diesel and aviation fuel. He expressed surprise at the unexpected challenges despite the refinery’s significant capacity.
Independent Petroleum Marketers Association of Nigeria (IPMAN) expressed readiness to purchase Dangote’s petrol at any price, indicating they are willing to bypass the NNPC. The association’s president stated that they are prepared to buy and distribute Dangote’s fuel, given that NNPC is hesitant to set a price.
The NNPC has been criticized for increasing petrol prices around the time of Dangote’s refinery launch, raising public concern that fuel prices may not decrease as hoped. Meanwhile, black market sales have surged, with prices reaching as high as N1,400 per litre in some areas due to station closures and fuel shortages.
In various states, fuel prices have fluctuated significantly, with some areas experiencing long queues and high prices at independent stations, while NNPC stations offer fuel at lower prices but with limited availability. The situation varies widely, with some regions seeing better availability and lower prices compared to others.…..For More READ THE FULL ARTICLE HERE ▶▶
