Dangote Petroleum Refinery has commenced the direct supply of Premium Motor Spirit, commonly known as petrol, to select oil marketers, bypassing the Nigerian National Petroleum Company Limited.
Sources indicate that while several oil marketers are actively seeking to purchase the product directly from the refinery, others are continuing to import petrol. In fact, hundreds of millions of liters of imported PMS are expected to arrive in Nigeria within the next two weeks, according to The Punch.
This development follows an earlier report which revealed that at least four vessels carrying imported PMS reached various seaports along Nigeria’s borders between October 18 and October 20.
The report referenced a document from the Nigerian Port Authority, indicating that approximately 123.4 million litres of PMS were recently berthed at two seaports to enhance fuel supply across the nation.
Meanwhile, while major oil marketers continue to import petrol, others have begun directly sourcing PMS from the Lekki-based Dangote Petroleum Refinery.
A senior official at the refinery confirmed that marketers are now permitted to engage in direct business transactions on a willing-buyer, willing-seller basis.
“Marketers are already coming to the refinery to lift PMS. They are lifting directly from the refinery, not through a third party,” the reliable official, who spoke in confidence due to lack of authorisation to speak on the matter, stated.
The source, who was unable to disclose the price at which marketers are lifting the product, emphasized that oil dealers would only engage in direct purchases if the pricing is favourable.
“We have reached agreements with some of the marketers and more are still ongoing. I don’t know the exact price, but if the price is not good, the marketers would not be coming to us,” the official stated.
He maintained that things are improving, especially as the Federal Government commenced the supply of crude to the facility.
Another official at the facility confirmed to one of our correspondents that trucks from several marketers are now loading petrol directly from the refinery, bypassing the Nigerian National Petroleum Company.
“Some of the trucks you saw there today were from marketers purchasing the product directly from Dangote, without recourse to NNPC. So the direct sale has started,” the source stated.
The official explained that in response to the high demand for petrol both in Nigeria and abroad, the refinery has prioritized ensuring that 53 percent of its PMS production comes from its crude oil supplies.
“This could be reviewed in future if the demand for other finished products increases more than the demand for petrol, but right now about 53 per cent of our crude is used for petrol production, while other products account for the remaining percentage,” the official stated.
When asked whether marketers had begun purchasing petrol directly from Dangote without involving the NNPC, a representative from one of the prominent major marketing firms confirmed this development.
“Yes, everyone is in the process. This was advised that it would happen soon and is a normal business transaction,” the source stated.
This confirmation contradicts claims from some quarters suggesting that the refinery would be unable to sell petrol to marketers until its agreement with the NNPC is terminated.
