The Dangote Refinery has refuted claims by the NUPRC, stating that it has not received the alleged allocation of 29 million barrels of crude oil, challenging the regulatory body’s assertions.
The turmoil in Nigeria’s oil and gas industry persists as Dangote Refinery reports it has not yet received 26 million barrels of crude allocation, which the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) was supposed to facilitate.
On Friday, it was revealed in a statement by Anthony Chiejina- the representative of Dangote Group.
The statement responded to NUPRC’s assertion that it had assisted Dangote Refinery in obtaining an allocation of 26 million barrels of crude oil during the initial quarter of 2024.
The NUPRC revealed a plan to assess its regulations concerning the obligation for domestic crude supply by 2023.
Despite this, the Dangote Refinery has stated that it hasn’t yet received its crude allocation.
While expressing gratitude for the allocation, we would like to inform them that these cargoes are still pending delivery.
Dangote Refinery reports that NUPRC has only assisted in acquiring one crude cargo from a local provider.
Dangote Refinery stated that, apart from the supply term bilaterally negotiated with NNPC, NUPRC has only assisted in buying a single crude cargo from a local producer. The remaining cargoes processed by them were acquired through international traders.
The implementation of the Petroleum Industry Act, which takes into account domestic crude obligation, was encouraged by the company with a request for NUPRC to facilitate it.
The company stated that they only seek for Nigerian refineries to purchase crude oil directly from local producers instead of relying on foreign intermediaries, as outlined in the PIA.
Aliko Dangote, the CEO of Dangote Group, previously accused NUPRC of failing to enforce local supply requirements imposed on International Oil Companies and other refiners operating in Nigeria. OBASANJONEWS reports.
The ongoing conflict between Dangote Refinery and NUPRC serves as evidence that Nigeria’s oil and gas industry is still facing significant challenges, despite President Bola Tinubu’s recent order for Nigerian National Petroleum Company Limited (NNPCL) to supply crude in Naira to domestic refineries including Dangote Refinery.
The implementation of the directive is still pending.
