President Bola Tinubu has instructed the Nigerian National Petroleum Company Limited (NNPC) to sell crude oil to Dangote Refinery and other emerging refineries in Naira.
This directive was announced by Bayo Onanuga, the Special Adviser to the President on Information and Publicity, via his official X handle on Monday.
The decision, approved by the Federal Executive Council, aims to stabilize the pump price of refined fuel and manage the dollar-Naira exchange rate. Currently, Dangote Refinery requires 15 cargoes of crude annually, at a cost of $13.5 billion, with NNPC committed to supplying four of those cargoes.
The Federal Executive Council has endorsed the sale of 450,000 barrels intended for domestic use in Naira to Nigerian refineries, starting with Dangote Refinery as a pilot initiative.
The statement added, “The exchange rate will be fixed for the duration of this transaction.
“Afreximbank and other settlement banks in Nigeria will facilitate the trade between Dangote and NNPC Limited. The game-changing intervention will eliminate the need for international letters of credit, further saving the country of dollar payments.”
