The Dangote Petroleum Refinery is set to provide fuel to approximately 150,000 retail outlets operated by the Independent Petroleum Marketers Association of Nigeria (IPMAN) following a successful meeting between the refinery’s management and IPMAN executives.
The meeting, held after IPMAN’s exclusive scheduling, confirmed the refinery’s commitment to supply products to over 30,000 IPMAN members.
Regulatory assessments of the refined products are underway before final approval for fuel dispensing.
Major oil marketers, including 11 Plc, Conoil Plc, Ardova Plc, MRS Oil Nigeria Plc, OVH Energy Marketing Limited, Total Nigeria Plc, and NNPC Retail, have registered for product distribution from the $20 billion Dangote plant.
The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) is also engaging with the refinery for product supply.
The Dangote Petroleum Refinery commenced the production of diesel and aviation fuel on January 12, 2024.
IPMAN’s president affirmed the refinery’s commitment to supply products to IPMAN’s 150,000 stations nationwide.
“The meeting went well, so right now we are just expecting their reply in terms of the products that they are going to give us. They have agreed to dispense products to IPMAN members,” Maigandi said in a conversation with the Punch newspaper.
Asked to state the number of oil marketers that are members of IPMAN, he replied, “We have 30,000 members as of our last census, which was done two years ago. And they agreed to supply products to us. Also, our retail outlets are 150,000 stations across the country.”
Further probed on whether every IPMAN member and station would receive supply from Dangote, Maigandi emphasised, “What he (Dangote) is producing is for Nigeria’s consumption. He can supply Nigeria and can export some of the products. It is not a small refinery. It is a very big refinery. I was there to see things for myself, and it is a massive refinery.”
In response to information that Dangote pledged to bring products to the market in January and whether this was realistic, the IPMAN President expressed optimism.
“There is hope since they have started production. Immediately when they finish production, the next thing is to sell. I can confirm this because I was there myself. And I know immediately he gets approval to sell, he can start selling at any time.
“So, it is not a small project. It is a very good thing for Nigeria. They are to start with aviation fuel and diesel. You know that independent petroleum marketers also buy diesel.
“Therefore, by God’s grace, our 30,000 members are ready to buy and distribute across the 150,000 retail outlets nationwide. So anywhere you go you will see fuel. The issue of scarcity of fuel will be no more once he (Dangote) starts,” Maigandi stated.
When probed further on pricing with the refinery’s management by Punch, he stated, “No, we didn’t discuss the price, but all that we know is that the price is going to be a little bit lower than what we have been selling.”
The Dangote refinery, which has received six million barrels of crude oil at its two SPMs located 25km offshore, is capable of loading 2,900 trucks daily at its gantries. The refinery’s products will meet Euro V specifications.