Dangote refinery stops selling petrol to marketers in Naira

Dangote Refinery has halted selling petroleum products in naira; the company disclosed this in an official statement. The 650,000 barrels per day refinery said the decision to halt the deal was necessary to avoid a mismatch between its sales proceeds and crude purchase obligations. With a series of partnerships with marketers, the refinery has been crashing its petroleum products as global oil market prices have continued to decline.
“We wish to inform you that, Dangote Petroleum Refinery has temporarily halted the sale of petroleum products in Naira. This decision is necessary to avoid a mismatch between our sales proceeds and our crude oil purchase obligations, which are currently denominated in U.S. dollars. To date, our sales of petroleum products in Naira have exceeded the value of Naira-denominated crude we have received. As a result, we must temporarily adjust our sales currency to align with our crude procurement currency.
Our attention has also been drawn to reports on the internet claiming that we are stopping loading due to an incident of ticketing fraud. This is malicious falsehood. Our systems are robust, and we have had no fraud issues.
“We remain committed to serving the Nigerian market efficiently and sustainably. As soon as we receive an allocation of Naira-denominated crude cargoes from NNPC, we will promptly resume petroleum product sales in Naira,” the company said in a statement shared with MarketForces Africa.