The Federal Government has failed to meet its goal of providing crude oil to the refinery under the naira-for-crude scheme, according to the Dangote Petroleum Refinery.
It said that in comparison to the volume required to ramp up the manufacture of refined products, the quantity of crude received from the Nigerian National Petroleum Company Limited is “peanuts.”
According to a Reuters story that quoted an interview with Devakumar Edwin, the vice president of Dangote Industries Limited, the NNPCL has failed to meet the goal of delivering at least 385,000 barrels per day since the program’s start in October.
“We need 650,000 barrels per day. NNPCL agreed to give a minimum of 385,000 bpd, but they are not even delivering that,” the Dangote official said.
The government said in July that it will sell petroleum priced in naira to local refineries for a first six months beginning in October in order to alleviate difficulties in obtaining foreign currency.
Four cargoes of crude oil were supplied to the refinery last month, according to an exclusive revelation by The PUNCH. It was gathered by knowledgeable sources on the local crude sale agreement that the refinery was still awaiting more cargoes of crude oil.
However, the scheme might have failed fewer than two months after it started, forcing the refinery to look for crude purchases from the US.
