Dangote Refinery disputes NUPRC's claim of allocating 26 million barrels of crude, stating it has only received one cargo. The refinery urges NUPRC to allow direct crude purchases from Nigerian producers as per the Petroleum Industry Act, highlighting ongoing challenges in Nigeria's oil and gas sector.
The ongoing turmoil in Nigeria's oil and gas sector has escalated, with Dangote Refinery asserting that it has not received the 26 million barrels of crude oil allegedly allocated by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). This statement counters NUPRC's earlier claims of facilitating the delivery of this crude in the first quarter of 2024.
Anthony Chiejina, spokesperson for Dangote Group, clarified that while the refinery acknowledges NUPRC's efforts, it has only received one crude cargo through NUPRC facilitation. The majority of the refinery's processed crude has been sourced from international traders rather than local producers. Chiejina emphasized the company's desire to purchase crude directly from Nigerian producers, as mandated by the Petroleum Industry Act (PIA), instead of relying on international middlemen.
The refinery's frustration reflects broader issues within the sector, including concerns over the enforcement of domestic supply obligations. This dispute underscores the challenges faced by Nigeria's oil and gas industry, despite President Bola Tinubu's directive for the Nigerian National Petroleum Company Limited (NNPCL) to sell crude in Naira to local refineries, including Dangote Refinery. The directive has yet to be fully implemented, adding to the tensions between the refinery and regulatory bodies.
This clash highlights the ongoing struggles within Nigeria's energy sector, as key stakeholders navigate complex regulatory frameworks and market dynamics.
