“Dangote Refinery Halts Naira Sales Amid NNPC Crude Supply Issues – What It Means for Fuel Prices”
Written by SpringNewsNG Media Limited, March 19, 2025.
Dangote Petroleum Refinery has temporarily halted the sale of petroleum products in Naira, citing the need for the Nigerian National Petroleum Company (NNPC) Limited to allocate Naira-denominated crude cargoes. The refinery announced this decision on Wednesday, explaining that its sale of petroleum products in Naira had already surpassed the value of Naira-denominated crude it had received, creating an imbalance.
The company emphasized that aligning its sales proceeds with crude oil procurement, which is currently conducted in U.S. dollars, was essential. Until the refinery receives a fresh allocation of Naira-denominated crude from NNPC, it will only sell petroleum products in U.S. dollars.
Additionally, the refinery addressed rumors of a ticketing fraud incident as the reason for the halt, categorically denying such claims. “Our attention has also been drawn to reports on the internet claiming that we are stopping loading due to an incident of ticketing fraud. This is malicious falsehood,” the statement read. The company reassured the public that its systems remain robust and secure.
Despite the temporary suspension, Dangote Refinery reiterated its commitment to serving the Nigerian market efficiently and sustainably. The management also expressed appreciation for the understanding and cooperation of customers during this period, stating, “As soon as we receive an allocation of Naira-denominated crude cargoes from NNPC, we will promptly resume petroleum product sales in Naira.”
NNPCL Denies Ending Naira Crude Policy
Meanwhile, SaharaReporters recently reported that NNPC Limited denied terminating its crude-for-Naira agreement with Dangote Refinery. The denial followed media speculation that the arrangement had been discontinued. However, NNPC’s Chief Corporate Communications Officer, Olufemi Soneye, dismissed these reports in a statement titled “Clarification on the Naira Crude Contract Between NNPC Limited and Dangote Refinery.”
According to the statement, the agreement for crude oil sales in Naira was structured as a six-month contract, set to expire at the end of March 2025. NNPC clarified that there was no unilateral termination of the contract, contrary to social media claims.
The sale of crude oil in Naira was initially scheduled to begin on October 1, 2024, but faced uncertainties before implementation. The policy, approved by President Bola Tinubu in July 2024, aimed to use Dangote Refinery as a pilot program to make petroleum products more affordable in Nigeria.
