Federal Character
  • Home
  • News
  • Politics
  • Business & Finance
  • Entertainment
  • Sports
  • Tech
  • Relationship and Life
  • Fashion & Lifestyle
  • Food & Nutrition
  • Health
  • Opinion
No Result
View All Result
  • Home
  • News
  • Politics
  • Business & Finance
  • Entertainment
  • Sports
  • Tech
  • Relationship and Life
  • Fashion & Lifestyle
  • Food & Nutrition
  • Health
  • Opinion
No Result
View All Result
Federal Character
No Result
View All Result
Home Business & Finance

Dangote Refinery Urges Enforcement of Domestic Crude Supply Obligation

Amid Disputes with NUPRC and NNPC

Benita OrumabyBenita Oruma
August 9, 2024
in Business & Finance
0
Dangote Refinery Urges Enforcement of Domestic Crude Supply Obligation
Share on FacebookShare on TwitterShare on Whatsapp

In recent developments involving Dangote Refinery and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the refinery has strongly urged NUPRC to enforce the domestic crude supply obligation as mandated by the Petroleum Industry Act (PIA). This call comes in response to ongoing challenges the refinery faces in securing its full crude oil requirement from domestic sources.

Table of Contents

Toggle
  • Disputes and Allegations
  • Challenges in Securing Local Crude
  • Concerns Over NUPRC Enforcement
  • Public and Government Response

Disputes and Allegations

Dangote Refinery has been embroiled in disputes with both government officials and international oil companies over the supply of crude oil to its 650,000 barrels per day facility. NUPRC has accused the refinery of producing substandard products and pursuing a monopolistic market. Conversely, Dangote Refinery has alleged that government officials are obstructing its operations and pointed out that a significant portion of its crude supply is imported rather than sourced locally.

Challenges in Securing Local Crude

In a statement released by the Group Chief, Branding and Communications Officer at Dangote Petroleum Refinery, Anthony Chiejina, Dangote Refinery outlined the difficulties it faces in securing adequate crude oil supplies domestically. The refinery also denied recent media reports suggesting it had backtracked on its statements regarding crude supply. It clarified that it had not accused the Nigerian National Petroleum Company Limited (NNPCL) of failing to provide crude. Instead, its primary concern is the enforcement of the domestic crude supply obligation by NUPRC to ensure the refinery receives its full crude oil requirements from NNPC.

Concerns Over NUPRC Enforcement

The refinery expressed frustration with NUPRC’s perceived reluctance to enforce the domestic crude supply obligation. For September, Dangote Petroleum Refinery required 15 cargoes of crude oil but received only six from NNPC. Despite appeals to NUPRC, the remaining cargoes have not been secured. When approaching international oil companies operating in Nigeria, the refinery was either redirected to their international trading arms or informed that their cargoes were committed elsewhere.

As a result, Dangote Petroleum Refinery has had to purchase Nigerian crude from international traders at an additional premium of $3-$4 per barrel, resulting in an extra $3-$4 million per cargo.

Public and Government Response

The ongoing conflict between the refinery and the government has attracted significant attention from Nigerians, many of whom support the refinery’s cause. As the only operational refinery in Nigeria, Dangote Refinery’s struggles have highlighted the lack of support from those in power. The dispute has fueled calls for the enforcement of the PIA regarding crude oil obligations to local refineries. If successful, this enforcement could grant Dangote a legal right to a percentage of crude oil from producers, alleviating the refinery’s current challenges and potentially boosting petroleum production in Nigeria.

Tags: dangoteDangote Refinery Urges Enforcement of Domestic Crude Supply ObligationDomestic crudefederal characterNewsNigeriarefinery
Benita Oruma

Benita Oruma

Benita Oruma is a lawyer in training, a 400 level student in the university of Ibadan. She is a content writer with interest in corporate affairs and the marketplace.

Related Posts

Maryland Lawmakers Weigh Historic $25 Minimum Wage Increase
Business & Finance

Maryland Lawmakers Weigh Historic $25 Minimum Wage Increase

March 12, 2026
National Debt Nears $39 Trillion as U.S. Borrows $50 Billion Every Week
Business & Finance

National Debt Nears $39 Trillion as U.S. Borrows $50 Billion Every Week

March 12, 2026
March 2026: Black Market FX Continues to Pressure the Naira
Business & Finance

March 2026: Black Market FX Continues to Pressure the Naira

March 12, 2026
Next Post
Venezuelan President Maduro Announces 10-Day Ban on X Amid Election Controversy

Venezuelan President Maduro Announces 10-Day Ban on X Amid Election Controversy

Cardi B Reveals Near Miscarriage After Freak Accident

Cardi B Reveals Near Miscarriage After Freak Accident

RSF Turns El Gezira Into a War Zone, Civilians Abandoned

RSF Turns El Gezira Into a War Zone, Civilians Abandoned

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

Trump Launches $1 Billion Lawsuit Over Targeted Tax Leak to Media

Is Trump Holding America Hostage Over a Budget Fight?

5 months ago
UK Recognition of Palestine Exposes Cracks in Western Unity

UK Recognition of Palestine Exposes Cracks in Western Unity

6 months ago
What LA Police Are Investigating at Film Director Rob Reiner's Estate

What LA Police Are Investigating at Film Director Rob Reiner’s Estate

3 months ago
Minimum wage: FG warns of mass sackings as Labour rejects minimum wage

Minimum wage: FG warns of mass sackings as Labour rejects minimum wage

2 years ago

Categories

  • Beauty
  • Business & Finance
  • Entertainment
  • Fashion & Lifestyle
  • Food & Nutrition
  • Government
  • Health
  • News
  • Politics
  • Relationship and Life
  • Sports
  • Tech

Topics

2023 Aboki/Bureau De Change (BDC) apc Arsenal buhari Business cbn chelsea china court Davido Dollar Efcc Election Entertainment Euro and Pounds To Naira Exchange Rate For Today exchange rates for the Nigerian Naira (NGN) Fashion federal character federal government Finance Football Foreign News government health iran Israel lagos Manchester United Naira Naira Black Market exchange rates News Nigeria pdp police Politics president protest Russia Sports tinubu trump UK ukraine US
No Result
View All Result

Highlights

Pentagon to Request Emergency Funds as Iran War Costs Hit $11 Billion in First Week

Hegseth Under Fire as US Probe Points to Role in Iran School Massacre

‘Bombing Won’t Overthrow the Regime’: Iran Dissidents Warn US and Israel

FBI Iran Drone Threat Alert Based on One Tip — Was America Misled?

Why 50,000 US Troops Can’t Overthrow Iran

BBNaija’s Angel Set to Tie the Knot With Girlfriend

Trending

Inside the "Over-Content-lizing" of Lagos Love
Fashion & Lifestyle

Inside the “Over-Content-lizing” of Lagos Love

bySomto Nwanolue
March 12, 2026
0

Lagos is a truly unhinged place. You spend at least 3 months chasing a tailor, skip lunch...

Maryland Lawmakers Weigh Historic $25 Minimum Wage Increase

Maryland Lawmakers Weigh Historic $25 Minimum Wage Increase

March 12, 2026
PSG Have Also Entered the Bargain for Chelsea's Star Enzo Fernandez alongside Real Madrid

PSG Have Also Entered the Bargain for Chelsea’s Star Enzo Fernandez alongside Real Madrid

March 12, 2026
Pentagon to Request Emergency Funds as Iran War Costs Hit $11 Billion in First Week

Pentagon to Request Emergency Funds as Iran War Costs Hit $11 Billion in First Week

March 12, 2026
Hegseth Under Fire as US Probe Points to Role in Iran School Massacre

Hegseth Under Fire as US Probe Points to Role in Iran School Massacre

March 12, 2026

We launched Federal Character in February 2021 based on the belief that the world is in need of smarter and more efficient reporting of events shaping our rapidly changing world. We pledged to put our audience first, always.

Recent News

  • Inside the “Over-Content-lizing” of Lagos Love
  • Maryland Lawmakers Weigh Historic $25 Minimum Wage Increase
  • PSG Have Also Entered the Bargain for Chelsea’s Star Enzo Fernandez alongside Real Madrid

Categories

  • Beauty
  • Business & Finance
  • Entertainment
  • Fashion & Lifestyle
  • Food & Nutrition
  • Government
  • Health
  • News
  • Politics
  • Relationship and Life
  • Sports
  • Tech

© FederalCharacter.com

No Result
View All Result
  • Home
  • News
  • Politics
  • Business & Finance
  • Entertainment
  • Sports
  • Tech
  • Relationship and Life
  • Fashion & Lifestyle
  • Food & Nutrition
  • Health
  • Opinion

© 2024 Federalcharacter.com