The Nigerian National Petroleum Company (NNPC) Limited has said petrol from the Dangote Refinery will be sold at an estimated pump price of N950.22 per litre in Lagos and N1,019.22 far away in Borno state.
The pump price of petrol by the Dangote refinery is higher than the NNPC which currently sells at N855 at its outlets in Lagos, and N897 in the northern part of the country, thereby dashing the hopes of Nigerians that Dangote products will crash the price of fuel when it is eventually rolled out.
After several postponements, the new refinery said it would roll out on September 15 and be sold at all sales outlets in the country.
The Dangote Refinery pricing which the NNPCL released in the early hours of Monday was higher than some analysts thought as costs was passed on 100 per cent to the general public.
In a statement entitled “Estimated Pump Price Based on Dangote Refinery September 2024 PMS Pricing” by Femi Soneye, the NNPC spokesperson, Dangote Refinery will sell its fuel at N950.22 in Lagos and N1, 019.22 in Borno.
Dangote products will be sold at N999.22 per litre in Sokoto, Kaduna, Kano, and N992.22 in the Federal Capital Territory (FCT). The NNPCL statement also showed that the Dangote petrol will be sold at N960.22 per litre in Oyo state and N980.22 per litre in Imo and Rivers states.
Soneye said the estimated pump prices of PMS were obtained from the Dangote Refinery for all NNPC Retail stations in the country, based on September 2024 pricing, clarifying further that prices are not set by the government but negotiated directly between parties on an arm’s length basis according to section 206 (1) of the Petroleum Industry Act.
He also explained that the NNPC is paying the Dangote Refinery in dollars for September 2024 PMS off-take pending October 1 when the sale in Naira will start.
He however said the NNPCL will discount the pump price to Nigerians if the quoted pricing (Platts 10ppm FOB AR Barge + $46 is disputed.
Before the release by the NNPCL, Dangote Refinery said that the N898 per litre price previously announced by the NNPCL is both a misleading and mischievous attempt to deliberately undermine the milestone achievement recorded on September 15, 2024, to address the energy insufficiency and insecurity, which has bedeviled the economy in the past 50 years.
“We urge Nigerians to disregard this malicious statement and await a formal announcement on the pricing, by the Technical Sub-Committee on Naira-based crude sales to local refineries, appointed by His Excellency, President Bola Ahmed Tinubu which will commence on Dangote Refinery and Petrochemicals on October 1.”
