Nigeria’s Minister of Finance, Wale Edun, has announced the commencement of the Naira-for-crude sale deal with Dangote Refinery, effective October 1, 2024.
Edun revealed this information through the Ministry of Finance’s official X account, highlighting the government’s efforts to stabilize the price of petrol in the country.
The statement read, “The Minister of Finance and Coordinating Minister of the Economy announced that, in line with the Federal Executive Council directive, the sale of crude oil and refined petroleum products in naira has officially commenced as of October 1, 2024.
“Following a meeting of the Implementation Committee chaired by the Minister of Finance on October 3, 2024, to conduct a post-commencement review of the Crude Oil and Refined Products Sales in Naira initiative, the commencement of this strategic initiative was affirmed by key stakeholders.”
Last month, the Technical Sub-Committee on Domestic Sales of Crude Oil in Local Currency announced that the Federal Executive Council under the leadership of President Bola Tinubu has approved the sale of crude to local refineries in naira and the corresponding purchase of petroleum products in naira.
“From October 1, NNPC will commence the supply of about 385kbpd (385,000 barrels per day) of crude oil to the Dangote refinery to be paid for in naira,” the committee had declared.
President Bola Ahmed Tinubu had previously directed the Nigerian National Petroleum Company Limited (NNPC) to sell crude oil in Naira to Dangote Refinery, aiming to reduce fuel pump prices, which currently range from N950 to N1,100 per liter.
A meeting was held on October 3, 2024, to review the implementation of the Naira-for-crude sale initiative. Attendees included key stakeholders, such as the Minister of State, Petroleum (Oil), Heineken Lokpobiri, the Special Adviser to the President on Revenue, Zaccheus Adedeji, the Special Adviser to the President on Energy, Olu Verheijen, the Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority Engr. Farouk Ahmed, the representative of the Chairman of Dangote Group, the Vice President of Dangote Group, and the management of the Nigerian National Petroleum Company, led by the Group Chief Executive Officer, Mele Kyari, Chief Financial Officer, Umar Ajiya, and the NEPAL Executive Vice President (Downstream), Adeyemi Adetunji.
