The Independent Petroleum Marketers Association of Nigeria (IPMAN) has reached an agreement with Dangote Refinery to directly lift premium motor spirit (petrol), diesel and other products.
IPMAN National President, Abubakar Garima, disclosed this development in Abuja on Monday following a meeting of the National Working Committee of the Association.
This is coming months after the Nigerian National Petroleum Corporation (NNPC) halted its plan to sole off-taker of petroleum products from the 650,000 bpd refinery.
Garima stated that the collaboration would ensure a steady and affordable supply of Premium Motor Spirit (PMS) products across the country.
“After meeting with Alh. Aliko Dangote and his management team in Lagos, we’re pleased to announce that Dangote Refinery has agreed to supply IPMAN with PMS, AGO, and DPK directly for distribution to our depots and retail outlets,” Garima said.
He emphasized the importance of supporting the Dangote Refinery, highlighting its backward integration benefits and potential positive impacts on Nigeria’s Foreign Exchange market
Support for Local Refining and Pricing Negotiation
Garima urged IPMAN members to rely on the Dangote Refinery and Nigerian refineries for white products.
“IPMAN members should rely on Dangote Refinery and Nigerian Refineries for white products, creating more job opportunities and supporting President Bola Tinubu’s renewed hope agenda,” he said.
Regarding pricing, Garima expressed optimism that discussions with Dangote Refinery would result in more competitive rates for petroleum products.
He, however, did not mention any price the marketers have in mind to purchase the product from Dangote.
Transition to CNG
- On Compressed Natural Gas (CNG), Garima highlighted IPMAN’s preparations to establish CNG refill stations nationwide.
- The IPMAN President also assured members that the Association would work closely with the Federal Government to ensure the availability of the necessary infrastructure and incentives to make CNG adoption seamless.
- He urged marketers to embrace this opportunity as it promises long-term benefits for the industry and the nation’s economy.
“CNG has immense potential to boost Nigeria’s economy. IPMAN is committed to supporting this initiative and partnering with the Federal Government for its success,” he stated.
What you should know
- The agreement between IPMAN and Dangote Refinery is anticipated to improve efficiency, and affordability, and drive economic growth within Nigeria’s petroleum industry.
- This development follows months after the Nigerian National Petroleum Corporation (NNPC) halted its plans to act as the sole off-taker of petroleum products from the 650,000 barrels per day (bpd) refinery.
- The Dangote Refinery, the largest in Africa and Europe, has already commenced production of diesel and aviation fuel.
- Plans are in progress to supply products directly to over 30,000 IPMAN members and 150,000 retail outlets across the nation.
- This initiative aims to eliminate middlemen, reduce costs, and ensure a consistent supply of petroleum products.
