Business
Dangote Refineries to supply 150,000 to independent marketers
The Dangote Petroleum Refinery is to supply fuel to about 150,000 retail outlets operated by the Independent Petroleum Marketers Association of Nigeria following a meeting between the management of the refinery and executives of IPMAN.
Punch reports that IPMAN had scheduled a meeting with the management of Dangote refinery as regards the supply of products to independent marketers.
When contacted on Friday evening to confirm if the meeting was held, the President, IPMAN, Abubakar Maigandi, stated that the association had finally met with the management of the refinery, adding that the latter agreed to supply products to the over 30,000 members of IPMAN.
This came as it was further gathered that the regulator of the downstream oil sector was currently examining the refined products from the refinery before the facility would be given approval to dispense fuel to the market.
Seven major oil marketers in Nigeria had registered with the refinery for the lifting and distribution of refined petroleum products produced by the $20bn plant.
The report stated that dealers under the aegis of the Major Oil Marketers Association of Nigeria confirmed on Sunday that with the registration, they would commence the distribution of fuel produced from the facility once the commercial terms were sorted.
Similarly, the Petroleum Products Retail Outlets Owners Association of Nigeria had also stated that PETROAN was engaging the management of the multi-billion dollar refinery for the supply of products from the facility.
On January 12, 2024, the Dangote Petroleum Refinery announced that it had commenced the production of Automotive Gas Oil, popularly called diesel, and JetA1 also known as aviation fuel.
Commenting on the outcome of the meeting between IPMAN and the Dangote refinery during a conversation with our correspondent on Friday, the association’s president said the management of the plant would be supplying products to the 150,000 stations of IPMAN nationwide.
“The meeting went well, so right now we are just expecting their reply in terms of products that they are going to give us. They have agreed to dispense products to IPMAN members,” Maigandi stated.
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.”
Probed further to tell whether every member and station of IPMAN would be able to get supply from Dangote, Maigandi said, “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.”
When told that Dangote promised to get the products to the market in January, and whether this was realistic based, the IPMAN President stated that there was hope.
“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.
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