The Dangote Refinery may soon begin exporting its Premium Motor Spirit (PMS) after the Nigerian National Petroleum Company Limited (NNPC) refused to be the refinery’s sole buyer. The NNPC stated it would only purchase petrol from the refinery if its prices were lower than international rates.
In a statement released on Saturday, NNPC spokesman Olufemi Soneye clarified that the company would fully offtake petrol from Dangote Refinery only if global market prices were higher than domestic pump prices. This contradicts earlier remarks by Dangote Group President, Aliko Dangote, who had indicated that the refinery was awaiting the NNPC to finalize product rollouts.
The NNPC reiterated that Dangote and other domestic refineries are free to sell to any marketer on a “willing buyer, willing seller” basis, dismissing claims that it was attempting to undermine the refinery. These allegations, raised by the Muslim Rights Concern (MURIC), suggested that the NNPC’s fuel price adjustments were designed to prevent Dangote from offering competitive rates.
“The pricing of petroleum products from any refinery, including Dangote, is determined by global market forces,” the NNPC stated. “NNPC will only fully offtake if the market prices of PMS exceed pump prices in Nigeria.”
Dangote had earlier expressed readiness to supply fuel, stating that the refinery could deliver PMS to filling stations within 48 hours, depending on the NNPC’s arrangements. However, the refinery may now look to export petrol if local buyers, including NNPC, do not come forward.
Vice President of Oil and Gas at Dangote Industries Limited, Devakumar Edwin, signaled the company’s readiness to export its products. “If the NNPC or traders are not buying the product, we will export PMS, as we are already doing with aviation fuel and diesel,” Edwin said.
Meanwhile, the Independent Petroleum Marketers Association of Nigeria (IPMAN) has expressed its willingness to purchase Dangote’s fuel at any price. IPMAN President, Abubakar Maigandi, affirmed that the association was prepared to patronize the refinery regardless of the NNPC’s stance.
Fuel prices across Nigeria have continued to surge, with reports of black market rates hitting N1,400 per liter in some states. Despite government assurances of increased availability, long queues persist at NNPC stations, while independent marketers sell fuel at prices above N1,000 per liter.
