The Nigerian National Petroleum Company Limited (NNPC) has been granted exclusive purchasing rights for Premium Motor Spirit (PMS), commonly known as petrol, refined by the Dangote Refinery and Petrochemical Company.
This development comes as the refinery has reportedly begun processing petrol after overcoming delays caused by recent crude oil shortages.
The arrangement underscores NNPC's pivotal role in managing Nigeria's fuel supply chain and the refinery's importance in meeting the nation's energy needs.
The $20 billion refinery on the outskirts of Lagos, began operations in January with output of products including naphtha and jet fuel.
With a capacity of 650,000 barrels per day, Africa’s largest refinery promises to ease oil producer Nigeria’s costly reliance on imported oil products.
“We are testing the product (gasoline) and subsequently it will start flowing into the product tanks,” said Devakumar Edwin, a vice president at Dangote Industries Limited.
He did not say exactly when the gasoline would hit the local market.
Edwin said state oil firm NNPC Ltd, Nigeria’s sole importer of petrol, would buy its petrol