The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) has revealed why independent marketers are currently unable to purchase petrol directly from Dangote Refinery.
The association attributed this to a pricing imbalance between the amount the Nigerian National Petroleum Company Limited (NNPCL) pays for petrol and the rate at which it resells to independent marketers.
During a press briefing in Lagos on Tuesday, PENGASSAN President Festus Osifo explained that while NNPCL might acquire petrol at roughly ₦950, it offers it to independent marketers at around ₦700, creating a considerable shortfall that NNPCL absorbs.
Osifo further noted that major marketers who buy directly from Dangote Refinery would pay a price similar to what NNPCL does but would then need to sell it at a significantly higher rate—potentially exceeding ₦1,000.
As a result, independent marketers prefer sourcing from NNPCL to benefit from the lower pricing structure.
He also highlighted that a portion of crude oil is currently allocated toward loan repayments, limiting the available supply for domestic use.
Osifo added that the ongoing divestment by International Oil Companies (IOCs) presents both challenges and opportunities for Nigeria, with potential impacts on foreign direct investment and production levels.
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