The Dangote Group has responded to claims by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) regarding the facilitation of crude oil allocation to the Dangote Petroleum Refinery and Petrochemicals. In a statement released on Friday and signed by Anthony Chiejina, the Group Chief, Branding and Communications Officer, Dangote Group acknowledged the NUPRC’s efforts but clarified that it has yet to receive the said cargoes.
While expressing gratitude for the allocation, the company pointed out that aside from a single crude cargo facilitated by the NUPRC from a domestic producer, most of the crude processed at the refinery so far has been purchased from international traders through bilateral negotiations with the Nigerian National Petroleum Corporation (NNPC).
The statement highlighted Dangote Group’s call for refineries in Nigeria to have the ability to purchase crude directly from domestic producers, rather than relying on international middlemen—a practice in line with the Petroleum Industry Act (PIA).
“Unfortunately, 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,” the statement concluded.
This response from Dangote Group underscores the ongoing challenges in securing direct domestic crude supply, a critical factor for the efficient operation of Nigeria’s refineries and the broader petroleum industry.
