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NNPCL refineries producing naphtha, not enough petrol –Marketers

*Olufemi Adewole, Executive Secretary of the Depot and Petroleum Products Marketers Association of Nigeria, affirms its members will not approach the Port Harcourt or Warri oil refineries for Premium Motor Spirit, also known as petrol, because the facilities are producing naphtha as of now

Isola Moses | ñ

The Nigerian oil dealers have said they are turning to the Dangote Petroleum Refinery, stating the Nigerian National Petroleum Company Limited (NNPCL) cannot optimally produce the Premium Motor Spirit, otherwise called petrol, but naphtha.

ñ gathered the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), which noted this Sunday, May 18, 2025, said its members could not purchase PMS from the state oil company, from the Dangote Petroleum Refinery.

Olufemi Adewole, Executive Secretary of DAPPMAN, affirmed this development to Channels TV Sunday, disclosed said the Association’s members were ready to lift petroleum products from the Dangote Refinery, as the “only viable petrol-producing facility” in the West African country.

Adewole, however, emphasised that the oil marketers would only resort to product importation, if they could not source the refined petroleum product locally.

The Executive Secretary also alleged the Dangote Petroleum Refinery is not ready to sell PMS to its members who wish to buy the product in bulk.

Port Harcourt, Warri refineries producing naphtha: DAPPMAM

Adewole further averred that DAPPMAN members would not approach the Port Harcourt or Warri refineries for petrol because the facilities are producing naphtha.

He said the government-owned l refineries are not optimally producing the much-needed petrol.

Adewole stated: “The NNPC refineries, both the revamped Port Harcourt and Warri, are not yet optimally producing PMS; they are producing naphtha.

“Our members will not go to them for now.”

He further noted: “But where we can get the product is Dangote Refinery, and we are willing to work with Dangote Refinery.

“We are willing to buy from Dangote Refinery, but if we don’t get the product from Dangote Refinery, the PIA allows us to import which is what we’ll go for.”

The in-country production of PMS should be accelerated in order to give marketers multiple sources of getting refined petroleum products, he said.

The Executive Secretary, nonetheless clarified that it is not the depot owners’ express will to import petroleum products.

According to him, the DAPPMAN members are ready to buy locally and sell to energy consumers, but the opportunities are limited in the Nigerian downstream petroleum industry.

Adewole explained: “In-country production should be ramped up because we need to have more sources of getting the product.

“It is not the primary will of the depot owners to import; we would rather buy locally and sell to Nigerians, but the opportunities are limited.”

He, however, argued that the Dangote Refinery prefers “a selective approach”, choosing a few marketers and transacting business with them via the gantry supply.

The DAPPMAN top executive insisted that as depot owners, Association loves to buy in bulk, up to 25 metric tonnes.

He equally stressed that if the portal is open and members are allowed to load their vessels, it will be easier for them to patronise the Dangote Petroleum Refinery.

DAPPMAN prefers bulk purchase to gantry supply from Dangote: Official

Underscoring the Association’s readiness to buy PMS from Dangote Refinery, Adewole restated: “Dangote Refinery, in this context, prefers a selective approach that chooses a few marketers and deals through them, and it prefers the gantry supply. But we are depot owners. We pick in bulk.

“We are picking 15 – 25 metric tonnes. So, if the portal is open and we are allowed to load our vessels, then it’s a lot easier for us.”

He explained the DAPPMAN members have depots all over Nigeria, and they are ready to pick PMS and diesel from the Dangote Refinery.

He, however, express doubts about whether or not the private refinery is ready to sell to the members.

Talks are still ongoing with Dangote, but members want the best price without being shortchanged, said he.

The Executive Secretary stressed “We have depots all over the country, spread all over the coastal areas.

“So, all these depots are ready and willing to pick from Dangote.”

Adewole added: “But is Dangote ready and willing? We’ve had several meetings with Dangote Refinery at the highest level of their management. We’re still talking with them.

“So, it’s not yet closed, but we want a situation in which we can pick from the refinery at the best possible price without being shortchanged.”

The aim of DAPPMAN, he stated, is to ensure it gives customers in all parts of the country quality products at the best price, no matter where the product legitimately comes from.

Adewole said: “Wherever we can source the product, we will get it for them.

“The PIA allows us to import, and when people ask, ’Why are you importing? Why are you not patronising the local refinery?’

“The reality is that we want to patronise the local refinery, but is the local refinery willing to give us the product? If we import cargos at a cheaper rate, we will sell to Nigerians at a cheaper rate.”

It is recalled the NNPCL had said the revamped state-owned oil refineries had resumed production of Straight-Run Gasoline (Naphtha) blended into 1.4 million litres of Premium Motor Spirit, 900,000 litres of kerosene, and low-pour fuel oil of 2.1 million litres.

The company also said about 200 trucks of petrol would be released into the Nigerian market daily.

Olufemi Soneye, Chief Communications Officer of NNPCL, stated these, while reacting to certain claims that the Port Harcourt Refinery was not producing fuel, but blending through Indorama Petrochemicals.

Soneye had said: “We are, however, aware of unfounded claims by certain individuals suggesting that the refinery is not producing products.

“For clarity, the Old Port Harcourt Refinery is currently operating at 70 per cent of its installed capacity, with plans to ramp up to 90 percent.”

The company’s Spokesman stated: “The refinery is producing the following daily outputs: Straight-Run Gasoline (Naphtha): Blended into 1.4 million litres of Premium Motor Spirit (PMS or petrol); Kerosene: 900,000 litres; Automotive Gas Oil (AGO or Diesel): 1.5 million litres; Low Pour Fuel Oil (LPFO): 2.1 million litres; Liquefied Petroleum Gas (LPG): Additional volumes.”

Soneye also noted: “It is worth noting that the refinery incorporates crack C5, a blending component from our sister company, Indorama Petrochemicals (formerly Eleme Petrochemicals), to produce gasoline that meets required specifications.

“Blending is a standard practice in refineries globally, as no single unit can produce gasoline that fully complies with any country’s standards without such processes,” Soneye disclosed in November.

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