The NNPC has clarified that its crude-for-naira deal was a temporary six-month agreement set to expire in March 2025. The company stated that discussions are ongoing for a new contract while reaffirming its commitment to supplying crude for local refining under mutually agreed terms.
The Nigerian National Petroleum Company Limited (NNPCL) has addressed reports about its crude-for-naira arrangement, stating that the deal was always meant to last six months and will end in March 2025. The company emphasized that the contract was dependent on crude availability and not a permanent policy shift.
According to NNPCL’s Chief Corporate Communications Officer, Olufemi Soneye, discussions are ongoing to determine the next steps for future crude supply agreements. Since October 2024, NNPCL has provided over 48 million barrels of crude to Dangote Refinery, with a total of 84 million barrels supplied since the refinery began operations in 2023.
The government introduced the crude-for-naira arrangement to support domestic refining and reduce pressure on foreign exchange reserves. However, as the contract nears expiration, stakeholders are watching closely to see if a new agreement will be reached or if the industry will return to dollar-based transactions.
