- Dangote: we sold below landing cost of imported fuel
- We bought at N898, oil giant insists
How much did Dangote Refinery sell petrol per litre to the Nigerian National Petroleum Company (NNPC) Limited?
The answer is still hanging in the air.
Controversy over it rages on.
The NNPCL, which is the sole off-taker “for now” of product from the new refinery, said it bought petrol per litre at N898.
But the refinery contradicted the claim, saying it sold it for less, but did not give the figure.
President and Chief Executive of Dangote Group, Alhaji Aliko Dangote, repeated the position of his company in an interview with Bloomberg.
He also did not give the amount but said the refinery sold the petrol to NNPCL at an “international price”.
Yesterday, NNPCL spokesman Olufemi Soneye said he had no new comment to make, adding that what he said earlier subsisted.
Dangote told Bloomberg: “Their (NNPCL) own importation is 15 to 20 per cent more expensive than ours.
“NNPCL bought from us on the 15th of September at an international price.
“They also imported over 800,000 metric tonnes of gasoline at the same time.
“So, the one they bought from us is cheaper than the one they are importing.
“People don’t know what they (NNPCL) spend in terms of import.
“But their own importation is about 15 to 20 per cent more expensive than ours.
“What they are supposed to do is to sell at a basket price or if they want to remove subsidy they can remove subsidy, which is okay and everybody will adjust to it.”
Before the release of the product, Dangote Refinery management, NNPCL and the Federal Government committee on the purchase of crude in naira met and declared that the petrol would be sold only to the NNPCL as the “sole off-taker for now”.
The meeting announced that from October 1, the NNPCL will give effect to President Bola Ahmed Tinubu’s directive that the oil giant should sell crude to Dangote Refinery in naira.
On September 15, the NNPCL received the first batch of products from the refinery.
Soneye said NNPCL paid $120 million to Dangote Refinery for 25 million litres but said on the eve of supply, the refinery wrote to the oil giant that it could only be able to supply 16.8 million litres.
He added that the refinery could not even meet up to that promise.
The NNPCL, saying it bought per litre at N898, put the pump price at between N950 in Lagos; N992 in Abuja and N1,019 in Maiduguri, which is the farthest distance to the Lagos supply point.
The price announcement sparked outrage among Nigerians, who eagerly expected a lower pump price from the Dangote Refinery.
Dangote also told Bloomberg that the January raid on his company’s Lagos Head Office by Economic and Financial Crimes Commission (EFCC) operatives was meant to embarrass the firm.
“They (operatives) visited the office but didn’t talk to anybody, nor did they arrest anyone. It was just to cause us an embarrassment.”
He insisted that the company remains ‘’100 per cent clean’’ in all its dealings.
@The Nation, Nigeria
