The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has increased participation in the market with its approval of a fresh batch of fuel importation licenses to seven large oil marketing companies amidst increasing worries about domestic supply levels.
The NMDPRA issued this licenses for the importation of Premium Motor Spirit (PMS), or petrol, and Automotive Gas Oil (AGO), or diesel, for the third quarter of 2026.
These licenses are meant to help stabilise the market and prevent any disruption in supply levels as fuel stock levels fall and production from Nigeria’s biggest refinery falls below expectations.
Sources in the industry confirmed that AA Rano, AYM Shafa, Bono, Matrix Energy, Nipco and Pinnacle were licensed to import petrol and AA Rano, AYM Shafa, Bono, Matrix Energy and Pinnacle licensed to import diesel.
Under the current allocation, AA Rano and Matrix Energy each received approval to import 180,000 metric tonnes of petrol, whereas Pinnacle and AYM Shafa were allocated 150,000 metric tonnes and 120,000 metric tonnes, respectively.
On the other hand, AYM Shafa and Pinnacle received 60,000 metric tonnes and 45,000 metric tonnes of approval to import diesel, respectively.
This latest batch of permits comes after an earlier one that was issued in May, albeit with slight delays in this batch.
Further allocations may be made with the total import of petrol expected to cross 800,000 metric tonnes by the completion of the process.
These approvals are taking place in the context of reduced levels of inventories of fuels. According to data from NMDPRA, there are only 16 days worth of petrol in stock, while diesel is sufficient to last for 31 days.
However, reduced costs of petrol and diesel in international markets can help Nigerian marketers improve their import margins.
