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We are yet to receive 29m barrels crude allocation – Dangote counters NUPRC

Dangote plans to sell 12.7% stake in refinery over liquidity issues
Written by Areatatafo
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Dangote Petroleum Refinery says it has not received 29
million barrels of crude allocated to it by the Nigerian Upstream Petroleum
Regulatory Commission (NUPRC). Anthony Chiejina, group chief, branding and communications
officer of Dangote Group, spoke in a statement on Friday. On Thursday, Dangote refinery said NUPRC has been reluctant
to enforce the domestic crude supply obligation and ensure that it receives its
full crude requirement from Nigerian National Petroleum Company (NNPC) Limited
and international oil companies (IOCs). The NUPRC had denied insinuations by the management of the
Dangote Petroleum Refinery that it had not properly enforced the domestic crude
supply obligation (DCSO). NUPRC said nine have benefitted from its supply
of 32 million barrels of crude — with Dangote alone getting 29 million barrels
out of the total supply between January and June 2024. However, the Dangote refinery said it has not received the
crude supply. “We are in receipt of NUPRC’s statement that they have
facilitated the allocation of 29 million barrels of crude oil to the Dangote
Petroleum Refinery and Petrochemicals,” the company said.  “We would like to
thank them for this allocation but at the same time let them know that we are
yet to receive these cargoes. “Aside from the term supply we bilaterally negotiated with
NNPC, so far NUPRC has only facilitated the purchase of one crude cargo from a
domestic . The rest of the cargoes we have processed were purchased
from international traders.” He said refineries in Nigeria should buy crude directly from
the companies that produce it in Nigeria — rather than from international
middlemen, as specified in the Petroleum Industry Act (PIA). Chiejina said the NUPRC has effectively admitted in their
statement that they will be “unable to enforce the domestic crude supply
obligation” as specified in the PIA, citing “sanctity of contracts” as an
excuse.

 

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"Anthony Asiemo is a talented and accomplished individual with a passion for excellence. With a strong background in writing, Anthony has established himself as a respected professional in the blogging industry.

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