DAILY TRUST
The Nigerian National Petroleum Company (NNPC) Limited is set to become the “initial exclusive buyer” of products from the Dangote Refinery as the 650,000 barrel per day plant begins processing of premium motor spirit (PMS) also known as petroleum, report has indicated.
This is coming amidst the worsening fuel supply in Nigeria with the NNPCL indicating that the supply gap might get worse following its indebtedness to importers.
After several denials, the national oil company admitted on Sunday that it was facing financial difficulty with a report indicating that the company is owing over $6billion.
This came about a week after the NNPCL published its 2023 audited financial statement and declared a dividend of N3.1trillion.
Fuel supply has been impaired nationwide with most NNPCL retail outlets under lock and key while motorists pay as much as N1000 per litre across the country.
However, a report by Reuters yesterday confirmed that the Dangote refinery is ready to roll out petrol in the coming weeks as testing has begun while NNPC is expected to be the “initial exclusive buyer” – a move projected to address the supply gap which the national oil company is contending with in recent times.
The vice president at Dangote Industries Limited, Devakumar Edwin, who was quoted by Reuters also indicated that the national oil company is prepared to purchase its products exclusively to meet local demands.
“We are testing the product (gasoline) and subsequently it will start flowing into the product tanks.
“If no one is buying it, we will export it as we have been exporting our aviation jet fuel and diesel,” Edwin said. He, however, did not mention when the product will hit the market.
When contacted yesterday, the NNPC Chief Corporate Communications Officer, Mr. Olufemi Soneye said he was not aware of the deal with Dangote.
“I am not aware of that,” he said, adding that there was no way Dangote would sell below N1000.
“I don’t think marketers would buy at that amount. So, the sure bet is to sell to NNPC but then at what rate will NNPC be buying?
But fuel scarcity has worsened in Abuja, Lagos and other parts of the country with a litre selling as much as N1000.
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