NNPC Begins Petrol Lifting from Dangote Refinery
The Nigerian National Petroleum Company (NNPC) Limited has officially started transporting refined petrol from the Dangote Petroleum Refinery.
This move aligns with the federal government’s announcement that petrol distribution from the refinery to NNPC would commence on 15 September 2024.
The news was shared via a post on the Dangote Group’s official X account (previously known as Twitter) on Sunday. The post, stating “NNPC begins PMS lifting at the Dangote Petroleum Refinery,” was accompanied by images showing several tankers being loaded with petrol at the refinery’s fuel loading gantry.
Ahead of the operation, Femi Soneye, Chief Corporate Communications Officer of NNPC Ltd, revealed on Saturday that by the end of the day, at least 300 trucks would be positioned at the refinery, ready for loading scheduled for Sunday, 15 September.
This development represents a significant advancement in the operational activities of the Dangote Refinery and its role in supporting Nigeria’s domestic petrol supply.
The Dangote Refinery has now commenced the supply of refined petrol to NNPC, a key milestone in the collaboration between the refinery and the state-owned corporation, marking another important chapter in Nigeria’s energy industry.
In a related announcement, on Friday, the Honourable Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, represented by Dr Zacch Adedeji, Chairman of the Federal Inland Revenue Service (FIRS), confirmed that the federal government had finalised all agreements for the sale of crude oil to local refineries in Naira, along with the purchase of petroleum products.
This update followed a Technical Sub-Committee meeting, signalling Nigeria’s energy strategy shift. From 1 October, the Dangote Refinery is expected to receive 385,000 barrels per day of crude oil from NNPC, with payments for crude oil and petroleum products to be made in Naira.
In addition, all associated regulatory costs, including fees from the Nigerian Ports Authority (NPA) and the Nigerian Maritime Administration and Safety Agency (NIMASA), will be settled in Naira, underscoring the move towards local currency transactions within the energy sector.
While the federal government has confirmed the agreement with the Dangote Refinery, key details such as crude pricing and the Naira exchange rate have not yet been disclosed. These elements will play a crucial role in determining the broader impact of the deal on Nigeria’s energy market.
