The Dangote Petroleum Refinery has announced a temporary suspension of fuel sales to the Nigerian domestic market, citing challenges with the stalled naira-for-crude oil deal previously in place with the Nigerian National Petroleum Company (NNPC).
In a notice to petroleum marketers on Wednesday, the refinery explained that the move was necessary to prevent a financial imbalance caused by its crude oil purchase obligations, which are currently settled in US dollars.
“Dangote Petroleum Refinery has temporarily suspended the sale of petroleum products in naira to avoid a mismatch between sales proceeds and crude oil purchase obligations,” the company stated. “Our sales in naira have exceeded the value of naira-denominated crude received so far.”
The company also addressed online reports alleging a halt in loading operations due to ticketing fraud, dismissing the claims as false and malicious. “Our systems remain robust, and there are no fraud issues,” the statement added.
Dangote Will Continue Sales in Naira
Dangote assured that fuel sales in naira would resume once it receives fresh allocations of naira-denominated crude cargoes from NNPC.
Until recently, the refinery sold products to local marketers in naira, relying on the NNPC’s crude supply in the local currency. However, the NNPC discontinued the naira-for-crude arrangement on March 10, forcing Dangote to reassess its sales strategy.
The refinery reaffirmed its commitment to serving the Nigerian market efficiently and sustainably once the crude supply issue is resolved.