News

Dangote refinery begins direct petrol sale to marketers

Published

1 month ago

October 24, 2024

The Dangote Petroleum Refinery has started supplying Premium Motor Spirit, popularly called petrol, to some oil marketers directly without recourse to the Nigerian National Petroleum Company Limited.

It was gathered that while more oil marketers were intensifying efforts to buy the product directly from the plant, others were importing the commodity, as hundreds of millions of litres of imported PMS should hit Nigeria’s shores in two weeks’ time.

Recall that The PUNCH exclusively reported on Monday that no fewer than four vessels carrying imported PMS arrived at seaports situated along the nation’s borders between Friday, October 18, and Sunday, October 20.

The report cited a document obtained from the Nigerian Port Authority, which showed that about 123.4 million litres of PMS were berthed at two seaports to improve fuel supply nationwide.

The development confirmed an earlier exclusive report by The PUNCH, which disclosed that oil dealers intend to import the commodity to supplement the supply from the $20bn Dangote refinery.

Meanwhile, as major oil marketers import the commodity, their counterparts have started lifting PMS directly from the Lekki-based plant.

A senior official at the refinery said marketers are now allowed to approach the company for direct business transactions on a willing-buyer, willing-seller basis.

“Marketers are already coming to the refinery to lift PMS. They are lifting directly from the refinery, not through a third party,” the reliable official, who spoke in confidence due to lack of authorisation to speak on the matter, stated.

The source, who could not tell the price at which marketers were lifting the product, noted that the oil dealers would not come if the price was not favourable to them.

“We have reached agreements with some of the marketers and more are still ongoing. I don’t know the exact price, but if the price is not good, the marketers would not be coming to us,” the official stated.

He maintained that things are improving, especially as the Federal Government commenced the supply of crude to the facility.

Another official at the facility showed one of our correspondents the trucks of some marketers loading the product directly from the plant without going through NNPC.

“Some of the trucks you saw there today were from marketers purchasing the product directly from Dangote, without recourse to NNPC. So the direct sale has started,” the source stated.

The official explained that due to the high demand for petrol in Nigeria and other countries, the refinery had focused on ensuring 53 per cent of PMS production from its crude oil supplies.

“This could be reviewed in future if the demand for other finished products increases more than the demand for petrol, but right now about 53 per cent of our crude is used for petrol production, while other products account for the remaining percentage,” the official stated.

When asked if marketers had started the direct purchase of petrol from Dangote without recourse to NNPC, one of the notable major marketers in the country replied in the affirmative.

“Yes, everyone is in the process. This was advised that it would happen soon and is a normal business transaction,” the source stated.

But this is contrary to claims from some quarters that the refinery would not be able to sell petrol to marketers unless the deal between it and the NNPC is terminated.

The PUNCH recalls the company had initially announced that the NNPC would be the sole off-taker of its petrol from September 15.

A source at the refinery said this was as decided by the Federal Government. The source said he was taken aback when the Technical Subcommittee on Domestic Sale of Crude Oil in Local Currency announced on October 11 that marketers should now lift petrol directly from the refinery.

“Moving forward, petroleum product marketers are now able to purchase PMS directly from local refineries without the intermediary role of NNPC. Marketers are encouraged to initiate direct purchases from refineries on mutually negotiated commercial terms, which will promote competition and improve market efficiency,” the Minister of Finance, Wale Edun, who heads the committee stated in a statement.

As the committee made the announcement, operators said the market had been fully deregulated and they would approach the refinery to apply for PMS lifting.

The PUNCH recalls that the Vice President of the Independent Petroleum Marketers Association of Nigeria, Hammed Fashola, recently led other officials of the association to a meeting with the Vice President of the Dangote Industries, Devakumar Edwin, in Lagos.

Though Fashola did not give much updates about the meeting with Edwin, he appreciated him for the roles he had been playing.

“Edwin received us very well and promised to make things easier for IPMAN to do business with Dangote,” he said.

Fashola added, “We had a fruitful discussion with the group. We have started discussing modalities and other logistics. IPMAN has agreed to work with Dangote. We hope very soon we will start lifting products from the facility.”

However, IPMAN said it could not commence the immediate off-take of the product unless the refinery ends its contract with the NNPC.

But officials at the refinery stated that the refinery was now selling PMS to some marketers.

When the Dangote refinery began the sale of PMS on September 15, the NNPC said it bought the product at the rate of N898/litre; a claim the refinery described as mischievous.

The refinery said the naira-for-crude committee would be the one to announce the price of its PMS. The committee has yet to do so as of October 22.

Credit: PUNCH

News

Simon Ekpa: FG’s attempt to extradite self acclimated freedom fighter may hit brickwall

Published

2 minutes ago

November 24, 2024

Kayode Sanni-Arewa

The Federal Government’s attempt to extradite pro-Biafra agitator Simon Ekpa, from Finland to face terrorism charges in Nigeria may hit brickwall.

According to The Africa Report, this is due to Finnish legal restrictions.

The self-declared prime minister of the Biafra Government In Exile (BRIGE) was arrested alongside four others by Finland’s National Bureau of Investigation (NBI) over terrorism related activities.

The Finnish police said they suspect that Mr Ekpa “has contributed to violence and crimes against civilians in South-eastern Nigeria.”

Nigeria’s defence chief, General Christopher Musa while reacting to the arrest, said the country will proceed to push for Ekpa’s extradition to Nigeria.

While Finland has confirmed Ekpa’s arrest, the country made it clear that, according to Finnish law, the country will not extradite its nationals outside the European Union or Nordic countries.

This further complicates Nigeria’s request since there is no extradition treaty between the two countries.

Even though Finland and Nigeria are in contact, the legal framework prohibits the transfer of citizens for trial in non-EU countries.

According to reports, everything has to be done according to Finnish legislation, which has very strong protections for freedom of speech

“The issue of an extradition treaty is very fundamental. If there is no extradition treaty between the two countries, there can be no legal basis or justification for extraditing Ekpa,” a Lagos-based lawyer Festus Ogun said.

Vince Onyekwelu, former British Police Officer and National Security Risk Strategist said the chances of Ekpa’s extradition to Nigeria are also slim.

Onyekwelu said while appearing on Arise TV:

“Professionally speaking, the Finnish Authorities have done their due diligence and have every right to arrest Simon Ekpa. It is left for the court to look into the request by the Chief of Defence Staff to extradite Ekpa to Nigeria. However, with the absence of an extradition treaty between Nigeria and Finland, Ekpa’s extradition will seem unlikely.”

News

Minimum wage: Yobe Gov approves N70k for workers

Published

2 minutes ago

November 24, 2024

Kayode Sanni-Arewa

Yobe State Governor, Hon. Mai Mala Buni has approved the payment of N70,000 minimum wage to civil servants in the state effective December 2024.

This is contained in a memo signed by the governor, following recommendations by the committee on Minimum wage constituted by the state government.

The committee had recommended for a reconciliation of local government finances to ensure a hitch free transition process of the local government councils from the existing salary structure to the new minimum wage.

The reconciliation process which is nearing completion is expected to be concluded soon for approval, and quick enrolment of the local government employees into the new minimum wage salary structure.

According to a statement signed by the spokesman to the governor, Mamman Mohammed, the Government expects civil servants in the state to reciprocate the gesture by putting in their best to ensure effective and efficient service delivery

News

Retired 85-year-old Col bags P.hd

Published

7 minutes ago

November 24, 2024

Kayode Sanni-Arewa

A retired Colonel of the Nigerian Army, Bolaji Titilola Onafowokan, aged 85, is among the first set of doctoral degree students produced by the Tai Solarin University of Education, TASUED, Ijagun, Ijebu Ode, Ogun State.

The Vice Chancellor, Prof. Oluwole Banjo, disclosed this at the weekend, while briefing the press on activities to mark the 16th convocation ceremony of the university.

He said the first set of PhD holders to be produced by the institution totalled 67.

“I am happy to inform you that the university will, at this 16th convocation ceremony, graduate its first set of doctoral degree holders.

“They are 67 in number and the list included a retired Army Colonel, Bolaji Titilola Onafowokan, who is 85 years old. And he is getting his PhD in Educational Technology.

“I salute his courage and doggedness to pursue this dream of his. Even younger ones shy away from this kind of task.

27 First Class
“Also, out of the 4,140 graduating students, 27 have first class. We are also graduating 4 M.Phil, 275 Master’s degree and our best graduating student is Adedeji A. Adedamola with CGPA of 4.91.

“We are also giving honorary degrees to four distinguished Nigerians namely: Dr Taiwo Olayinka Afolabi, Prince Oluyemisi Adedoyin Shyllon, Otunba Jaiyeola Wasiu and Engineer Jubril Dotun Sanusi,” he stated.

Prof. Banjo, who is winding down his tenure as the VC of the first university of education in Nigeria, added that some projects would be inaugurated by the Visitor, Governor Dapo Abiodun.
“We are happy to say that within the last one year, we have done some projects to add to what we have on ground. We have expanded the Medical Centre and the fund used was from our internally generated revenue.

“We are also weaning ourselves of epileptic power supply as we have our own Independent Power Project. It is 800 kva which can be scaled up.

“Even as it is, it is enough for our needs. It is less expensive than what we pay monthly as electricity bills to the power firm serving this area,” he said.

The VC also disclosed that the Minister of Communication, Innovation and Digital Economy, Dr Bosun Tijani, would deliver the convocation lecture titled, “From classroom to cloud: Leveraging digital literacy for national development.”

Vanguard News