BREAKING: Major Drop in Petrol Prices Expected as FG Confirms Deal with Local Refinery

A significant reduction in petrol prices is anticipated in Nigeria following the confirmation of a deal between the Federal Government and Dangote Petroleum Refinery.....KINDLY READ THE FULL STORY HERE▶

Recall that in early September, the Technical Sub-Committee on Domestic Sales of Crude Oil in Local Currency announced that the Nigerian National Petroleum Company Limited (NNPC) will supply 385,000 barrels of crude oil per day to Dangote Refinery, valued in naira, starting October 1, 2024.

This initiative aims to alleviate pressure on the naira, eliminate unnecessary transaction costs, and enhance the availability of petroleum products nationwide.

The Dangote Refinery will supply equivalent volumes of refined diesel and petrol to the domestic market, also valued in naira. Diesel will be sold to interested buyers, while petrol will be sold exclusively to NNPC, which will then distribute it to various marketers.

The technical committee, chaired by Zacch Adedeji, has been working closely with NNPC and Dangote Refinery to finalize implementation details. The committee will transition to an implementation execution and monitoring committee, operating from Lagos for the next three to six months.

“I can confirm to you that the Chairman, Sub-Technical Committee, Zacch Adedeji, is working day and night to ensure that things go according to plans. He knows how important it is to have the agreement implemented as has been planned for the benefit of Nigerians,” Mr Dare Adekanmbi, the Special Adviser on Media to the FIRS Chairman, Zacch Adedeji confirmed recently.

Nigerians currently purchase fuel between N950 and N1,100 per liter, following NNPC’s announcement of fresh prices after the launch of Dangote Petrol on September 15, 2024. However, Dangote Refinery disputed the N898 per liter price announced by NNPC.

Aliko Dangote, President of Dangote Group, assured that his petrol is cheaper than imported alternatives, without disclosing the price.

The House of Representatives has since mandated Dangote Refinery to reveal its petrol price, but the information remains undisclosed.