The Nigerian National Petroleum Company Limited and Dangote Refinery have yet to finalise a commercial agreement for lifting Premium Motor Spirit by the September 15, 2024 deadline. Despite previous announcements, sources confirm no deal on pricing or quantity has been reached.
[dropcap]F[/dropcap]our days before the announced date for lifting Premium Motor Spirit (PMS) from the Dangote Refinery, the Nigerian National Petroleum Company Limited (NNPC) and Dangote Refinery have yet to finalise a commercial agreement.
The September 15, 2024, deadline, set by NNPC’s Executive Vice President of Downstream, Adedapo Segun, may not be met, as investigations reveal that both parties have not agreed on crucial factors such as pricing and quantity.
Also read: Dangote refinery launches premium motor spirit for Nigerian market
Multiple NNPC and Dangote sources confirmed on Tuesday that no paperwork had been signed.
These sources indicate that the national oil company has not established terms and conditions with Dangote Refinery regarding the petrol lifting deal.
The official at Dangote Refinery mentioned that there has been no communication about lifting the product on the scheduled date, and critical discussions, such as pricing negotiations, are still ongoing.
Meanwhile, the Crude Oil Refiners Association of Nigeria (CORAN) suggested that Dangote’s petrol prices could be lower if concessions promised by the government are granted.
However, concerns remain over the potential cost of PMS when released into the market, with speculations of a price hike up to N1,000 per litre.
