The Nigerian National Petroleum Company (NNPC) Limited has outlined the sole condition under which it could become the exclusive distributor for the Dangote Refinery.
In a statement by its Chief Corporate Communications Officer, Olufemi Soneye, NNPC explained that the pricing of petroleum products from any refinery, including Dangote Refinery Ltd., is determined by global market forces.
NNPC further emphasized that domestic refining does not guarantee lower prices, as recent changes in petrol prices have no bearing on Dangote Refinery or any domestic refinery’s access to the Nigerian market.
The company noted that Dangote Refinery and other domestic refineries are free to sell directly to any marketer on a willing buyer, willing seller basis.
NNPC stated: “The NNPC Ltd will only fully offtake PMS from the Dangote Refinery if market prices of PMS are higher than the pump prices in Nigeria.
However, NNPC has no desire to become the sole distributor in a free market environment.”
Additionally, the NNPC addressed criticism, stating that it cannot undermine a business where it holds significant investment and urged groups to verify facts before making statements that could incite the public.
