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NNPCL Refutes Ending Naira-for-Crude Deal with Dangote Refinery

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NNPCL to Hand Over Nigerian Refineries to Private Firms
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  • NNPCL has denied reports that it terminated its naira-for-crude sale deal with Dangote Refinery.

  • The deal, which commenced in October, was a six-month agreement subject to availability and is set to expire at the end of March 2025.

  • Discussions are ongoing regarding the implementation of a new contract, with NNPCL having supplied over 48 million barrels of crude oil to Dangote Refinery since October 2024.

The Nigerian National Petroleum Company Limited (NNPCL) has denied terminating its naira-for-crude sale deal with Dangote Refinery.

The spokesperson for NNPCL, Olufemi Soneye, made this clarification in a statement on Monday.

Soneye’s statement was in response to reports claiming that NNPCL had halted its crude purchase agreement with Dangote Refinery.

“NNPC Limited has noted recent reports circulating on social media regarding the alleged unilateral termination of the crude oil sales agreement in naira between NNPC Ltd. and Dangote Refinery,” he said.

“To clarify, the contract for the sale of crude oil in naira was structured as a six-month agreement, subject to availability, and expires at the end of March 2025. Discussions are currently ongoing towards establishing a new contract,” Soneye explained.

READ ALSO: FG Moves to Pay N7.7trillion Fuel Subsidy Debts To NNPCL

Under the arrangement, NNPCL has supplied over 48 million barrels of crude oil to Dangote Refinery since October 2024.

“In total, NNPC Ltd. has provided over 84 million barrels of crude oil to the refinery since it commenced operations in 2023,” the statement read.

The naira-for-crude sales agreement between NNPCL and Dangote Refinery was initiated following President Bola Ahmed Tinubu’s announcement.

NNPC Signs Gas Supply Agreement with Ssonic Petroleum for LNG Plant

The Nigerian National Petroleum Company Limited, through its gas marketing subsidiary and partners, has signed a Gas Sale and Purchase Agreement (GSPA) with Ssonic Petroleum Ltd. to supply natural gas to the company’s proposed Liquefied Natural Gas (LNG) plant in the Lekki Free Trade Zone, Lagos State.

According to a statement by the company’s spokesperson, Olufemi Soneye, the agreement was signed as part of efforts to guarantee energy security in Nigeria.

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