- This decision was adopted by the Federal Executive Council (FEC)
President Bola Tinubu has instructed the Nigerian National Petroleum Company Limited (NNPC) to sell crude oil to Dangote Refinery and other upcoming refineries in Naira.
Bayo Onanuga, the Special Adviser to the President on Information and Publicity, announced this on Monday via his official X handle.
Onanuga stated that this decision, adopted by the Federal Executive Council (FEC), aims to stabilize the pump price of refined fuel and the dollar-Naira exchange rate.
Currently, Dangote Refinery needs 15 cargoes of crude, costing $13.5 billion annually, with NNPC committing to supply four. The FEC has approved that the 450,000 barrels meant for domestic consumption be sold in Naira to Nigerian refineries, starting with Dangote Refinery.
“The exchange rate will be fixed for the duration of this transaction,” the statement added. “Afreximbank and other settlement banks in Nigeria will facilitate the trade between Dangote and NNPC Limited. This intervention will eliminate the need for international letters of credit, further saving the country from dollar payments.”
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