The Independent Petroleum Marketers Association of Nigeria (IPMAN) has successfully negotiated a direct supply agreement with Dangote Refinery for the lifting of refined petroleum products.
The announcement was made by IPMAN’s National President, Abubakar Garima, during a press briefing in Abuja on Monday, following a meeting of the Association’s National Working Committee.
Garima revealed that the agreement would ensure a steady and affordable supply of Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), and Dual Purpose Kerosene (DPK) for distribution to IPMAN’s depots and retail outlets across the country.
“After meeting with Aliko Dangote and his management team in Lagos, we are pleased to announce that Dangote Refinery has agreed to supply IPMAN with PMS, AGO, and DPK directly for distribution to our depots and retail outlets,” Garima stated.
The IPMAN president emphasized the importance of the partnership, highlighting its potential benefits for Nigeria’s economy. He urged IPMAN members to fully support Dangote Refinery, particularly noting the advantages of backward integration and its positive impact on the country’s foreign exchange market.
“IPMAN members should rely on Dangote Refinery and Nigerian refineries for white products, creating more job opportunities and supporting President Bola Tinubu’s renewed hope agenda,” Garima added.
Regarding pricing, Garima expressed confidence that the ongoing negotiations with Dangote Refinery would result in lower rates for IPMAN members.
He also discussed the Association’s plans to transition to Compressed Natural Gas (CNG) refilling stations across the country, revealing that IPMAN is currently negotiating with the Presidential CNG Initiative to facilitate a smooth rollout.
This new development follows months of discussions between IPMAN and Dangote Refinery, and is expected to bring greater efficiency, lower costs, and foster economic growth within Nigeria’s petroleum sector.
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The Dangote Refinery, the largest of its kind in Africa and Europe, has already commenced the production of petrol, diesel, and aviation fuel, and plans to supply over 30,000 IPMAN members and 150,000 retail outlets nationwide.
The agreement is seen as a major step towards eliminating middlemen, reducing costs, and ensuring a more consistent supply of petroleum products across the country.
Earlier, IPMAN had expressed frustration over challenges faced by its members in attempting to lift products from Dangote Refinery, despite paying ₦40 billion to the Nigerian National Petroleum Company Limited (NNPCL). However, Dangote Refinery refuted the claim, clarifying that it had not received any payments from IPMAN for the purchase of refined petroleum products.
In a statement, Dangote Refinery said, “It is misleading to suggest that [IPMAN members] are experiencing difficulties loading refined products from our Petroleum Refinery, as we currently have no direct business dealings with them.”
The refinery further clarified that payments made by IPMAN had been directed through NNPCL, and not directly to Dangote Refinery. “NNPCL has neither approved, nor authorized the company to release our Premium Motor Spirit (PMS) to IPMAN,” the company said.
The refinery also encouraged IPMAN to register directly with Dangote Refinery and make payments for petroleum products. In response to the concerns raised by IPMAN, Dangote Refinery reiterated its capacity to meet Nigeria’s demand for petroleum products.
The new agreement between IPMAN and Dangote Refinery marks a significant shift in Nigeria’s petroleum industry, with the potential to streamline supply chains and enhance affordability for consumers nationwide.
