Nigerian Government Confirms Dangote Refinery as Direct Source for Petroleum Marketers

The Nigerian government has announced that Dangote Refinery will now serve as the direct supplier for petroleum marketers to purchase Premium Motor Spirit (PMS), also known as petrol.

This development was disclosed in a statement released on Friday through the Ministry's official X (formerly Twitter) account by Wale Edun, the Minister of Finance and Chairman of the Naira-Crude Sale Implementation Committee.

The statement officially ended the Nigerian National Petroleum Company Limited’s (NNPCL) exclusive rights as the sole off-taker of petrol from Dangote Refinery.

The announcement followed the Thursday meeting of the Implementation Committee on the Sales of Crude Oil and Refined Products in Naira. During the meeting, the government emphasized its commitment to boosting domestic PMS production.

“With the commencement of local PMS production, the market is better equipped to support these direct transactions. This transition is expected to enhance efficiency in product availability and stabilize market conditions for the benefit of all Nigerians,” the statement read.

The government also addressed the questions surrounding the market change and reassured stakeholders that it would engage them throughout the seamless transition process.

This decision comes after the NNPCL raised petrol prices at the pump to N1030 per litre in Abuja on Wednesday.

Prior to this, the Independent Petroleum Marketers Association of Nigeria (IPMAN) had rejected the NNPCL's ex-depot price of N1010 per litre. Additionally, the Nigeria Labour Congress (NLC) demanded a reversal of the latest increase in gasoline prices.