Petroleum products are now being supplied to Nigeria’s domestic market by Dangote Oil Refinery. According to sources who spoke with Reuters on Tuesday, the gasoline items are aviation jet fuel and diesel.
The head of the Independent Petroleum Marketers Association of Nigeria, Abubakar Maigandi, stated that local oil marketers add their markup to diesel after getting a bulk purchase agreement, and fixed the price at N1,225 ($0.96) per litre.
According to Maigandi, the association’s members own or operate over 150,000 retail outlets throughout Nigeria.
Letters of credit were requested by members of the smaller Depots and Petroleum Products Marketers Association of Nigeria in order to purchase petroleum products from Dangote.
“Our members are discussing with banks and these talks have reached advanced stages. When we have our letters of credit, we will begin lifting products,” Femi Adewole, the association’s executive secretary, said.
An executive from the company and various fuel marketing organisations told Reuters that oil marketers load diesel from the refinery, an important step in Nigeria’s drive for energy independence. Kebbi Govt. Approves N3.34bn Subsidy for 3,344 Prospective Pilgrims
In addition, Devakumar Edwin, a group executive at Dangote, confirmed that the company has begun distributing diesel and jet fuel to the local market.
“We have substantial quantities. Products are being evacuated both by sea and road. Ships are lining up one after another to load diesel and aviation jet fuel. Ships load a minimum of 26 million litres, though we try to push for 37 million litre vessels for ease of operations,” Edwin told Reuters.
The Dangote Refinery had earlier fixed January to commence domestic supply of petrol products. In May 2023, ex-President Muhammadu Buhari inaugurated the 650,000 barrels per day Dangote Refinery worth $20 billion.
