In a groundbreaking development, the Dangote Refinery is poised to transform Nigeria’s fuel landscape with its imminent commencement of petrol loading on Sunday, September 15.
This milestone marks a significant step towards Nigeria’s goal of boosting local refining capacity and reducing reliance on imported petroleum products.
According to Zacch Adedeji, Chairman of the Federal Inland Revenue Service (FIRS) and a member of the Presidential Committee on the Sale of Crude Oil and Refined Products, the Nigerian National Petroleum Company Limited (NNPCL) will supply approximately 385,000 barrels per day (kbpd) of crude oil to the Dangote Refinery starting from October 1, with payment to be made in Naira.
In return, the Dangote Refinery will supply Premium Motor Spirit (PMS) and diesel of equivalent value to the domestic market, also payable in Naira.
Additionally, diesel will be sold in Naira to any interested off-taker, while PMS will only be sold to NNPC, which will then sell to various marketers. All associated regulatory costs will also be paid for in Naira.
The committee’s deliberations aim to stabilize the domestic fuel market and reduce the country’s dependence on imported fuel. With the Dangote Refinery’s production capacity and projected output, Nigeria is set to witness a significant improvement in fuel availability and pricing.
This development is a testament to the government’s efforts to revitalize the petroleum sector and promote local content. As the Dangote Refinery begins its operations, Nigerians can expect a more stable and sustainable fuel supply, ultimately driving economic growth and development.
