Minister of Finance and Coordinating Minister of the Economy, Wale Edun, announced that the Dangote Refinery will begin distributing Premium Motor Spirit (PMS) on Sunday. He made this statement at a press conference in Abuja, represented by Dr. Zacch Adedeji, Executive Chairman of the Federal Inland Revenue Service (FIRS).
"I’m pleased to share that all agreements are finalized, and loading of the first batch of PMS from the Dangote Refinery will commence on Sunday, September 15," Edun stated.
Starting October 1, NNPC Ltd. will supply approximately 385,000 barrels per day of crude oil to the Dangote Refinery, with payments made in naira. In exchange, the refinery will provide PMS and diesel of equivalent value to the domestic market, also payable in naira. Diesel will be available for sale in naira to interested buyers, while PMS will be sold exclusively to NNPC, which will distribute it to various marketers.
Edun noted that all regulatory costs, including those from NPA and NIMASA, will also be settled in naira.
"We are establishing a one-stop shop to coordinate services from regulatory and security agencies to ensure smooth implementation of this initiative, located at the Nigeria Ports Authority in Lagos."
He mentioned that the technical committee that developed this initiative will transition to an implementation and monitoring committee based in Lagos for the next three to six months.
Edun also recalled that the Federal Executive Council, under President Bola Tinubu, approved the sale of crude oil to local refineries in naira and the corresponding purchase of petroleum products. He emphasized that this initiative aims to alleviate pressure on the naira, reduce unnecessary transaction costs, and enhance the availability of petroleum products in the country.
The minister expressed gratitude to all parties involved in shaping the details of this initiative alongside NNPCL and Dangote Refinery.