Dangote Refinery Begins First PMS Load Amid IPMAN’s Call for Direct Sales to Marketers

The Dangote Refinery in Lagos has commenced the loading of its first batch of Premium Motor Spirit (PMS). This move comes as the Nigerian National Petroleum Company Limited (NNPCL) informed the Petroleum Regulatory Authority of its intent to halt the importation of petroleum products by October, provided Dangote’s prices remain competitive.

Chinedu Ukadike, the National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), speaking on ARISE TV, praised the refinery’s development, stating that IPMAN is fully prepared to purchase and distribute the refinery’s products.

“We are battle-ready to gulp any available PMS from Dangote Refinery,” Ukadike said, noting that this would ease the country’s fuel distribution system.

Ukadike further emphasised that while IPMAN is not opposed to NNPCL being the sole off-taker of Dangote Refinery’s PMS due to its investment in the refinery, direct sales to independent marketers would significantly reduce fuel prices for consumers.

“Selling directly to IPMAN will reduce the final cost on consumers as it will eradicate distribution round-tripping,” he added.

Recall it was earlier reported that NNPC requested office space for six to 10 of its staff at the Dangote Refinery as part of its crude supply arrangement.

Devakumar Edwin, Vice President of Oil and Gas at Dangote Group, revealed this during a Nairametrics Twitter Space event on refining operations. He explained further that NNPC staff would oversee crude supply, monitor production, and handle the purchasing of refined products in Naira.

This shift toward transactions in Naira is a key part of ongoing negotiations between Dangote Refinery and NNPC.

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