Only NNPCL Can Purchase Dangote Petrol Henceforth – IPMAN

Only NNPCL can buy Dangote petrol henceforth, IPMAN have said.

The Deputy National President of the Independent Petroleum Marketers Association of Nigeria, Zarma Mustapha recently had his say while speaking to the press, and Nigerians have been reacting.

According to him, for Nigeria to have Dangote petrol across its filling stations, the NNPC would have to intervene by purchasing the product and reselling it to dealers at discounted rates.

He added that if it is not done this way, no marketer will be able to buy the product and sell it at a loss of over N400 to N500/litre.

His words, “There has been no official communication from them yet on pricing for petrol. However, one thing I want you to understand is that even if the Dangote refinery starts to release products, particularly PMS, no marketer can be able to buy the product from him.

This is because the refinery is an independent commercial entity and they must recoup their cost of refining and add some margin before they sell out the product. The current price of the product within the country is below the international price of a litre of PMS.

So you cannot buy the product from the refinery at the international price and then sell it at the prevailing price at the retail outlets. If you do, you are going to lose a huge amount of money, which is a difference of between N400 and N500/litre.

NNPC may have to offtake the product, just like they are importing from other countries for upward supply to Nigerian marketers, I think only the national oil company can offtake PMS from them and know how best they can continue to supply it to marketers to sell at the approved current price.

If it is not done this way, no marketer will be able to buy the product and sell it at a loss of over N400 to N500/litre. It is not possible.”

WOW.