Fuel Price Hike: ‘We Are Ready’ – Marketers Write Dangote Over Purchase Of Petrol

Oil marketers have renewed their interest in purchasing refined petroleum products from the Dangote Petroleum Refinery, a $20 billion facility, following a recent statement by Aliko Dangote, President of Dangote Group.

Naija News reports that Dangote had highlighted that despite the refinery’s production, oil marketers and the Nigerian National Petroleum Company Limited (NNPCL) were continuing to import fuel rather than sourcing it locally.

Expressing his concerns after a meeting with President Bola Tinubu, Dangote called on NNPCL and marketers to stop importing and start purchasing directly from his refinery. “We have the products they need,” he emphasized, urging them to step forward.

In response, representatives from the Petroleum Retail Outlet Owners Association of Nigeria (PETROAN) and the Independent Petroleum Marketers Association of Nigeria (IPMAN) have stated their willingness to purchase directly from Dangote’s refinery.

PETROAN President, Billy Gillis-Harry, mentioned that the association had reached out to the refinery, seeking a business meeting to establish buying terms and logistics.

However, PETROAN claims that despite their efforts to arrange a formal meeting, the refinery has yet to finalize discussions, leaving marketers without access to purchase.

“We’re ready to patronize Dangote,” Gillis-Harry told The PUNCH, but noted they need a formal agreement to proceed.

Abubakar Maigandi, National President of IPMAN, expressed similar frustrations. He stated that despite paying N40 billion through NNPCL for fuel from the refinery, members encountered delays when attempting to load products, with some trucks waiting as long as four days.

Dangote has indicated the refinery’s capability to meet local demand, stating that it has sufficient reserves to supply the country for over 12 days without imports.

Yet, IPMAN insists that direct engagement with independent marketers would help streamline access and avoid such delays.

Meanwhile, it has been disclosed that Dangote refinery is currently prioritizing sales to marketers with import licenses, likely due to the facility’s location within a free trade zone.

Marketers without these licenses, including IPMAN members, are awaiting approvals from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) to begin their own direct purchases.

IPMAN’s Vice President, Hammed Fashola, stated that their license application process is ongoing, with all necessary documents for storage capacity submitted.

Once the import license is granted, Fashola assured that IPMAN would disclose additional operational details to the public.