Fuel Price: IPMAN provides latest update on agreement with Dangote

The National President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Abubakar Maigandi, has assured Nigerians that talks with Dangote Refinery for direct petrol supply from its 650,000-barrel-per-day facility are progressing well and will be concluded soon.

According to reports, Maigandi confirmed that negotiations with Dangote Refinery are ongoing, and he is confident that an agreement will be finalized shortly.

Speaking during the inauguration of a task force in Abuja on Wednesday, aimed at monitoring and preventing oil bunkering, pipeline vandalism, and other malpractices, Maigandi also mentioned that IPMAN had resolved its pricing dispute with the Nigerian National Petroleum Company Limited (NNPCL) and is now focused on securing a partnership with Dangote.

Dangote Refinery

“We are pleased to announce that we are close to finalizing arrangements to lift petrol directly from Dangote Refinery. We have received our funds back from NNPCL, and we are now negotiating with Dangote and other partners to begin direct product sourcing from the refinery,” Maigandi stated.

He noted that the ongoing negotiations with Dangote Refinery were initiated after an intervention by the Director-General of the Department of State Services (DSS).

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has been instructed to issue IPMAN the necessary import and off-take licenses.

Oil marketers have been advocating for direct loading from the Dangote refinery since the government’s full deregulation of the petroleum sector.

However, concerns remain about the refinery’s capacity to meet local demand, leading to the possibility of supplementing with imported petrol.

Sources confirmed to The PUNCH that a meeting between oil marketers and Dangote officials earlier this week did not result in a final agreement. Another meeting involving IPMAN representatives is scheduled to take place in Lagos on Thursday to continue discussions.

During his remarks, Maigandi also reiterated IPMAN’s commitment to supporting the government in combating economic saboteurs who undermine the nation’s resources.

He described the newly established task force as a crucial step towards addressing oil-related economic sabotage, which exacerbates the country’s economic challenges.

“Our association plays a pivotal role in the downstream oil sector, accounting for more than 80% of the distribution chain. Therefore, we must tackle the issue of economic sabotage head-on. This task force, formed from members across all 36 states, will work to clear the negative perception that some of our members are involved in these unlawful activities. We are determined to hold all those responsible to account,” Maigandi added