Index to Nigerian Newspapers

Marketers Eye Direct Deal with Dangote as NNPC Buys N766/litre

Oil marketers, including representatives from the Independent Petroleum Marketers Association of Nigeria and the Petroleum Products Retail Outlets Association of Nigeria, have criticized the monopoly given to the Nigerian National Petroleum Company Limited as the sole off-taker of Premium Motor Spirit from the Dangote Refinery. Although the market was previously expected to operate on a willing-buyer and willing-seller basis, the Federal Government confirmed that all initial petrol distributions from the facility would go through the national oil firm starting September 15, 2024, before being resold to other distributors. Marketers expressed concern over the lack of transparency in pricing structures and warned against creating a dangerous domestic monopoly, even as the national oil firm mobilized hundreds of trucks and vessels to transport the product. Reports indicate that the refinery will sell its fuel to the national oil firm at approximately 766 naira per liter under a crude-for-naira deal, which petroleum retailers anticipate could potentially lower retail pump prices across the country once transportation costs and operational margins are added.

NNODIM, Okechukwu, Aina, Damilola & Adediran, Olufemi | Petroleum products -- Prices -- Nigeria | Punch Newspaper | Sunday, September 15, 2024