Oil Marketers in Nigeria Reveal Current Status of Dangote Refinery Petrol Sales

Despite the Nigerian government’s recent move to permit direct sales of Dangote Petrol to marketers, oil marketers in the country have announced that the Nigerian National Petroleum Company Limited (NNPCL) remains the sole off-taker of the product. This update comes after a meeting between the Independent Petroleum Marketers Association of Nigeria (IPMAN) and Dangote Group.

According to Dele Tajudeen, Zonal Chairman of IPMAN’s South-West region, a team led by the association’s National Vice President, Hammeed Fashola, met with Aliko Dangote, President of Dangote Group, on Monday to discuss the direct sale of petrol. Although the government had previously allowed marketers to purchase Dangote Petrol directly, effectively ending NNPCL’s monopoly as the sole off-taker, IPMAN revealed that an existing deal between NNPCL and Dangote Refinery has put the direct sales on hold.

In a notice on Wednesday, Tajudeen shared details of the meeting, stating that IPMAN had a productive discussion with Dangote Refinery regarding direct petrol sales. However, a pending agreement between Dangote and NNPC Ltd must be terminated before direct sales can begin. “The Vice President of Dangote confirmed that the Minister of Finance and the Minister of Petroleum Resources have directed them to commence sales of products to marketers who have duly registered with the refinery, but they are still having a pending agreement with NNPC Ltd which still subsists,” Tajudeen explained.

The development comes as NNPCL recently increased its petrol price to N1,030 per liter in Abuja. Earlier, on September 16, NNPCL had adjusted its petrol pump price after purchasing Dangote Petrol. The current situation means that direct sales of Dangote Petrol to marketers will remain on hold until the agreement between NNPCL and Dangote Refinery is terminated.

While the exact timeline for the termination of the agreement remains uncertain, IPMAN’s discussions with Dangote Refinery suggest that progress is being made towards allowing direct sales of petrol to marketers. However, for now, NNPCL remains the sole off-taker of Dangote Refinery Petrol, maintaining its hold on the market.