The comments follow a controversy after NNPC disclosed that they bought petrol from Dangote Refinery at N898 per litre, raising concerns about fuel prices amidst Nigeria’s ongoing efforts to stabilize costs.
New York, USA – Aliko Dangote, the CEO of Dangote Refinery, has addressed concerns surrounding fuel pricing, revealing that the refinery’s petrol was sold to the Nigerian National Petroleum Company (NNPC) at a price lower than that of imported petrol.
In an interview with Bloomberg TV on Monday, Dangote clarified that NNPC had purchased petrol from the 650,000 barrels per day Dangote Refinery on September 15, at the international market price. However, he emphasized that the price NNPC paid for the refinery’s petrol was less than what they spent on importing 800,000 metric tonnes of gasoline during the same period.
“The petrol NNPC imported was 15 to 20 percent more expensive than what they bought from us,” Dangote stated. He further explained that NNPC’s official price announcement likely included additional costs and profits, whereas they had never previously added profit margins when calculating fuel costs.
Dangote also highlighted that the public may not be aware of the actual cost of NNPC’s fuel importation and how this affects the final pricing for consumers.
The comments follow a controversy after NNPC disclosed that they bought petrol from Dangote Refinery at N898 per litre, raising concerns about fuel prices amidst Nigeria’s ongoing efforts to stabilize costs. In response, the Dangote Group issued a statement refuting NNPC’s claim, clarifying that the N890 per litre price did not reflect the actual selling price. The group maintained that they sold the petrol at a subsidized rate due to the international dynamics surrounding crude oil procurement.
Despite sourcing crude oil from international suppliers in dollars, Dangote affirmed that the refinery still provided the product at a price lower than what would typically be expected based on global market conditions.
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