Progress in Negotiations for Direct Petrol Loading from Dangote Refinery

The Independent Petroleum Marketers Association of Nigeria (IPMAN) is making significant strides towards establishing direct petrol loading from the Dangote Refinery, as reiterated by the National President, Abubakar Maigandi. In recent developments, Maigandi conveyed optimism about the ongoing discussions with the refinery, which boasts a capacity of 650,000 barrels per day, highlighting that arrangements for lifting petrol directly are nearing completion.

At the inauguration of a task force aimed at monitoring and preventing oil bunkering and other illicit activities in Abuja, Maigandi confirmed that negotiations with Dangote Refinery have progressed positively. “We are close to finalizing arrangements to lift petrol directly from Dangote Refinery,” he stated, affirming that IPMAN has resolved its pricing disputes with the Nigerian National Petroleum Company Limited (NNPCL) and is now concentrating on establishing a partnership with Dangote.

The negotiations were reportedly initiated after intervention by the Director-General of the Department of State Services (DSS). In a notable occurrence, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has been tasked with issuing the necessary import and off-take licenses to facilitate these arrangements.

Despite the optimistic outlook, concerns linger regarding the refinery’s ability to meet national petrol demands, which may necessitate continued imports. A recent meeting between oil marketers and Dangote officials did not yield a final agreement, but further discussions are scheduled to take place in Lagos, indicating a commitment to resolving outstanding issues.

Maigandi emphasized that IPMAN is dedicated to combating economic sabotage that threatens Nigeria’s oil resources, asserting that the newly established task force is vital in addressing these challenges. “Our association accounts for more than 80% of the distribution chain in the downstream oil sector, and we are determined to tackle the issue of economic sabotage head-on,” he asserted.

As IPMAN continues to navigate these negotiations, the outcomes will undoubtedly play a crucial role in shaping the future of Nigeria’s petroleum distribution landscape.