Barring any last-minute change in plans, the Dangote Refinery and Petrochemical Company will release the first batch of 16.3 million litres of Premium Motor Spirit popularly called petrol to the Nigerian National Petroleum Company Ltd......See Full Story>>.....See Full Story>>
The release was confirmed in a letter issued by the Refinery to NNPC Ltd, which was seen by THE WHISTLER on Saturday.
In the letter signed by the Group Chief Commercial Officer of Dangote Refinery, Rabiu Umar, the company said that a total of 12,200 metric tonnes of petrol would be released to the NNPC from the refinery.
Going by the conversion rate of 1341 litres to one metric ton, it, therefore, implies that the 12,200 metric tonnes expected to be released by Dangote Refinery would translate to about 16.3 million litres of petrol.
This is, however, a shortfall of the 8.7 million litres when compared to the 25 million liters per day, which was initially demanded by NNPC Ltd.
The letter addressed to the NNPC from Dangote Refinery reads, “This is to formally notify you of the release of Twelve Thousand, Two hundred Metric Tons (12,200 MT) of Premium Motor Spirit (PMS) from Tank No.3201D at Dangote Petroleum Refinery and Petrochemicals, Lekki Free Trade Zone, Ibeju Lekki to Messrs. NNPC Trading Limited to be loaded via road trucks.”
THE WHISTLER had reported that in a bid to demonstrate its readiness towards buying petrol from Dangote Refinery Petrochemical Company Ltd from this Sunday, September 15. the NNPC Ltd had mobilised 500 trucks to the facility on Saturday.
The truck would enable NNPC Ltd, which is the off-taker for petrol, to lift petrol from the Dangote Refinery under the naira for crude sale arrangement.
The move would enable the product to be distributed to oil marketers at a price that is competitive for the Nigerian market.
Recall that the Federal Executive Council, under the leadership of President Bola Tinubu, had approved the sale of crude to local refineries in Naira and corresponding purchase of petroleum products in Naira.
This initiative will help reduce pressure on the Naira, eliminate unnecessary transaction costs, and improve the availability of petroleum products in the country.
Since then, the implementation committee chaired by the Minister of Finance, Mr Wale Edun and the technical committee have worked intensely with NNPC Ltd and Dangote Refinery to fashion out the details of the modalities for the implementation of the FEC approval.