Dangote Refinery has clarified its current position as regards the quantity of domestic crude oil supplied to its 650,000 barrels per day capacity refinery by the Nigerian National Petroleum Corporation Limited (NNPCL).

Highlighting this position on the company’s official social media X handle is the company’s Group Chief, Branding and Communication Officer, Anthony Chiejina who gave a breakdown of crude oil supply update to the refinery.

Mr. Chiejina in his tweet refuted the alleged information currently trailing in the media space that the Dangote Refinery is in receipt of 60% of the 50 million barrels the company has lifted. He exonerated the Nigerian Upstream Regulatory Commission (NUPRC) for the current shortage on crude oil supply by acknowledging the Regulator’s efforts so far in urging the IOCs to bridge this supply difference.

“Our attention has been drawn to media reports alleging that the Dangote Refinery has backtracked by acknowledging that NNPC supplied about 60% of the 50 million barrels we lifted.

 “To clarify, we have never accused NNPC of not supplying us with crude. Our concern has always been that NUPRC is pushing but IOCs are not following the instructions to enforce the domestic crude supply obligation and ensure that we receive our full crude requirement from NNPC and the IOCs,” Group Chief, Branding and Communication Officer, Anthony Chiejina stated.

 Chiejina further berated IOCs on the present predicament being faced by the company owing to the horse-trading approach presented by the producers in dealing with the supply of crude oil to the refinery.  The company alleged insincerity in the excuses given by the IOCs for their inability to supply crude to the refinery.

“For September, our requirement is 15 cargoes, of which NNPC allocated six. Despite appealing to NUPRC and their intervention, we’ve been unable to secure the remaining cargoes. When we approached IOCs producing in Nigeria, they redirected us to their international trading arms or responded that their cargoes were committed.

 Consequently, we often purchase the same Nigerian crude from international traders at an additional $3-$4 premium per barrel which translates to $3-$4 million per cargo, “He posited.

 Hitching on a section of the Petroleum Industrial Act for its solemn right of crude oil supply, the company urges the NUPRC to compel the IOCs to comply with the existing section of the act and do the needful

 “We, therefore, still insist that we are unable to secure our full crude requirement from domestic production and urge NUPRC to fully enforce the domestic crude supply obligation as mandated by the PIA. It is a law and they just need to comply,” Mr. Chiejina concluded.

 In a similar vein, the Group Managing Director and Chief Executives of NNPC Limited has posited a discordant tune with the position of Dangote Refinery on the existing laws guiding the domestic crude oil supply.

Kyari made this disclosure while addressing the Senate Ad-Hoc Committee investigating alleged economic sabotage in Nigeria’s petroleum industry at the National Assembly on Wednesday, pointing that crude oil refining business is a straightforward business which any investor should know before coming into the market.

The NNPC Ltd.’s boss stated that the law has made it clear on domestic crude oil supply obligations and if also highlighted some grey areas on providing for the domestic refineries and he further stated that the same law also stipulated that there must be a willing buyer and a willing seller.

“Refining business is a straightforward business. You must secure (a source for) your feedstock, and you must find a market. This is basic and this determines what happens in any refinery anywhere in the world. That is the business of refining. We have done nothing to sabotage any domestic refinery.”

Speaking further on allegation in some media quarters of the corporation importation of sub-standard fuels into the country, Kyari categorically denied this by emphasizing that NNPC Limited has nothing to do with that as the relevant regulatory agencies have the penchant for zero tolerance for such act and by law will not allow any sub-standard product into the country.

On the Dagote claim that the corporation is short changing crude oil cargos allocation by 11 cargoes, Mallam Kyari regrettably blame this crude oil theft, pipeline vandalism and absence of investment in the upstream were the major factors hindering the sector appointing the fact that Nigeria has enough crude oil reserves and enabling infrastructure to produce 2million barrels of crude per day.

While pledging full cooperation with the Committee in its efforts to unravel the allegations being investigated, Kyari said the NNPC Limited remain committed to Nigeria and will continue to act in line with the provisions of the Petroleum Industry Act, PIA the Company & Allied Matters Act, CAMA, and other enabling laws and regulations governing the nation’s energy Industry.

“We are faithful, loyal and committed to the progress and development of this country. It is our duty to protect the overall interest of this great nation. We are not in breach of any rules,” Kyari concluded.