The Nigerian National Petroleum Company Limited (NNPCL) has been tasked by oil marketers to sell its refined petroleum products at a price lower than that of the Dangote Petroleum Refinery. This condition has been set by the marketers as a prerequisite for patronizing the newly rehabilitated Port Harcourt Refinery Company in Rivers State.
The National Publicity Secretary of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Ukadike, stated that although the NNPCL has yet to release its price for products from the refurbished refinery, a high price would discourage marketers. Ukadike noted that Dangote currently sells its petrol at N970/liter, while imported petrol is around the same price.
“We are anticipating that any moment from now, NNPC will give us its price. Once NNPC releases its price, we will start loading from NNPC. That is subject to if it is cheaper than that of Dangote,” Ukadike said.
The IPMAN spokesman further stated that the last NNPCL price was N1,040 and N1,045 per liter, but he expects a review of prices due to the global crash in prices.
The NNPCL has denied claims that its petrol price is N1,045/litre. The company’s spokesperson, Olufemi Soneye, stated that the refinery has yet to release its prices, as products from the plant are currently dispensed to only NNPCL stations.
Soneye revealed that the company is still reviewing its prices and has yet to commence bulk sales, as its purchasing portal remains closed.
“We have not yet commenced bulk sales, and we have not yet opened the purchase portal as we are still finalizing the necessary processes,” Soneye said.
Despite the rehabilitation of the Port Harcourt Refinery, oil marketers have continued to import petrol into the country. According to documents obtained from the Nigerian Ports Authority, a total of 78,800 metric tonnes of petrol, representing 105.67 million liters, have been imported into the country in the last five days.
The product was conveyed in four vessels, with the latest expected to arrive on Thursday, November 28, 2024.
The Port Harcourt Refinery, which has a refining capacity of 70% of its installed capacity, resumed operations on Tuesday, November 26, 2024, after years of inactivity. The refinery is expected to produce diesel and Pour Fuel Oil, with a daily capacity of 1.5 million liters and 2.1 million liters, respectively.
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The refinery will also produce Straight-Run Gasoline (Naphtha) blended into 1.4 million liters of Premium Motor Spirit (petrol), 900,000 liters of kerosene, and low-pour fuel oil of 2.1 million liters. About 200 trucks of petrol are expected to be released into the Nigerian market daily.
The rehabilitation of the Port Harcourt Refinery is a significant step towards reducing the country’s reliance on imported petrol and improving the overall energy security of Nigeria. However, the pricing of the refinery’s products will play a crucial role in determining its success and the willingness of oil marketers to patronize it.
The Dangote Petroleum Refinery has been a game-changer in the Nigerian oil and gas industry. The refinery, which commenced operations earlier this year, has been producing high-quality petroleum products, including petrol, diesel, and aviation fuel.
The refinery’s production has helped to reduce the country’s reliance on imported petrol, which has been a major challenge for the Nigerian economy. The refinery’s products are also priced competitively, making them attractive to oil marketers and consumers alike.
The refinery’s products are also expected to be priced competitively, making them attractive to oil marketers and consumers alike. However, the pricing of the refinery’s products will depend on various factors, including the cost of production, market demand, and competition from other refineries.
The National Public Relations Officer of the Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN), Dr. Joseph Obele, had earlier stated that NNPC petrol was N75 higher than the N970/litre offered by Dangote refinery.
However, PETROAN’s President, Billy Gillis-Harry, in a statement denied the claim, stressing that no price has been released by the national oil firm.
“The National Headquarters of Petroleum Products Retail Outlet Owners Association of Nigeria, PETROAN Abuja would like to inform the media and the general public that no new price for PMS has been released by the NNPC Port Harcourt Refinery,” the statement read.
“Members of PETROAN only bought PMS with the old pricing template awaiting new prices. We are excited that the production and loading of refined petroleum products have commenced at the Port Harcourt Refinery and we are expectant that soon the price of PMS will be stated by NNPC to the benefit of Nigerians.”
The NNPCL’s spokesperson, Olufemi Soneye, also reacted to the claim, stating that the refinery had yet to release its prices, as products from the plant were currently dispensed to only NNPCL stations.
Soneye revealed that the company was still reviewing its prices and had yet to commence bulk sales, as its purchasing portal remained closed.
“At present, the products we are selling are what we bought from the Dangote Refinery, which includes NMDPRA fees. The product from PH is currently for our retail stores. Our prices are regularly reviewed and adjusted as required,” Soneye said.
Despite the rehabilitation of the Port Harcourt Refinery, oil marketers have continued to import petrol into the country. According to documents obtained from the Nigerian Ports Authority, a total of 78,800 metric tonnes of petrol, representing 105.67 million liters, have been imported into the country in the last five days.
The product was conveyed in four vessels, with the latest expected to arrive on Thursday, November 28, 2024.
