The Nigerian National Petroleum Corporation (NNPC) has removed its first batch of Premium Motor Spirit (PMS), also referred to as gasoline, from the Dangote Refinery, marking a significant step towards lowering Nigeria’s dependency on imported fuel.
This is a critical juncture in the country’s efforts to secure energy security and increase domestic refining capability. Eyes Of Lagos reports,
PMS was produced earlier this year by Africa’s largest refinery, Dangote. The national oil corporation and the privately run refinery have launched a long-awaited partnership that is projected to drastically lower Nigeria’s fuel import cost. This relationship is marked by NNPC’s decision to remove PMS from the refinery.
Sources within NNPC claim that the fuel lift is a component of a contract between NNPC and Dangote Industries Limited, under which the national oil firm has the legal right to buy a sizable portion of the refinery’s production. The goal of the action is to balance fuel demand in the nation with variations in the world market.
Price of Dangote’s fuel
Premium Motor Spirit (PMS) is expected to sell between N857 and N865 per litre as NNPCL begins lifting the product from the Dangote Refinery on Sunday 15th of September, 2024.
NNPCL is anticipated to lift the product at N960/N980 per litre and sell it to marketers at N840/N850, enabling Nigerians to purchase it between N857 and N865 per litre at filling stations.
However, it remains uncertain whether a uniform price will be applied nationwide.
As of yesterday, petrol was sold for N855 per litre at NNPCL retail stations in Lagos, the lowest price available, while major marketers sold it for around N920.
At independent marketers’ stations, prices exceeded N1,000, and in other parts of the country, PMS was selling for over N1,200 per litre.
