By Adewale Sanyaolu, Chinwendu Obienyi and Chukwuma Umeorah
As part of strategy to guarantee supply security at affordable prices for its customers, Ardova Plc, an integrated downstream oil and gas businesses, says it has agreed to a bulk purchase framework with Dangote Refinery.
The framework will see Ardova Plc offtake a full slate of petroleum products from the refinery. The company said it has been a significant offtaker from the refinery since its inception, this new framework will institutionalise a more robust relationship between the two companies to further enhance the emerging competitive landscape in the downstream oil and gas industry in the country. According to Ardova Plc, the latest framework is in line with President Bola Tinubu’s drive for competition and improved efficiency in the industry and for the company to deliver products at competitive prices nationwide.
The Independent Petroleum Marketers Association of Nigeria (IPMAN), last month, Independent Petroleum Marketers Association of Nigeria IPMAN, announced on Monday that it reached an agreement with Dangote Refinery for its members to directly lift petrol from the facility.
IPMAN’s National President, Abubakar Shettima, told journalists in Abuja that the agreement also covers the direct lifting of automotive gas oil (diesel) and kerosene.
Shettima called on marketers to support the refinery, emphasising that such support would help boost Nigeria’s economy.
Oil marketers, including some IPMAN members, had previously insisted on importing petrol to compete with products produced by Dangote Refinery.
Shettima highlighted the success of recent discussions, stating: “Following our recent meeting with Alhaji Aliko Dangote and members of his top management staff in Lagos, we are pleased to announce that the Dangote Refinery has agreed to allow IPMAN to directly lift Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), and Dual Purpose Kerosene (DPK) for onward supply to IPMAN depots and retail outlets.
This new arrangement with Dangote Refinery will ensure a steady and uninterrupted supply of PMS products across Nigeria, at affordable rates for Nigerians.
All IPMAN members should fully support the Dangote Refinery, as this is the right course of action, given the substantial benefits of backward integration and its long-term positive impact on Nigeria’s foreign exchange markets.
IPMAN members nationwide should rely on the Dangote Refinery and Nigerian refineries for their white products, which will create more job opportunities in Nigeria and align with President Bola Tinubu’s Renewed Hope agenda,”.