BREAKING: Sales of Crude oil to Dangote Refinery in naira begin October 1

Sales of crude oil to Dangote Refinery and other local refineries will start on October 1, 2024. the Federal Government has said

The Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, announced at a meeting with the Implementation Committee on Crude oil Sales in Naira, on Monday in Abuja.

A post on the official X page of the finance ministry, indicated the meeting assessed progress on major programmes of government:

“The meeting reviewed progress on key initiatives, including the upcoming commencement of Naira payments for crude oil sales to the Dangote Refinery starting October 1, 2024.

“Dr. Zacch Adedeji, Executive Chairman of the Federal Inland Revenue Service and Chairman of the Technical Sub-Committee, reported that the first PMS delivery from Dangote is expected next month under existing agreements.

“Key roles were outlined for stakeholders, including the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Central Bank of Nigeria, Nigerian Upstream Petroleum Regulatory Commission and the African Export-Import Bank to ensure smooth implementation.”

There were also updates on the Port Harcourt and Dangote refineries, with notable production increases anticipated starting in November 2024.

To ensure that the President’s directives are being carried out as planned starting in September, the Minister underlined the need for transparency and gave the Technical Sub-Committee instructions to complete details and prepare a report.

The Federal Executive Council had on July 29 approved that NNPC sale the 450,000 barrels for domestic consumption to Nigerian refineries in naira, using the Dangote refinery as a pilot.

The move is to ensure the stability of the pump price of refined fuel and the dollar-naira exchange rate.