The Independent Petroleum Marketers Association of Nigeria (IPMAN) has struck a significant deal with Dangote Refinery, allowing its members to lift petrol, diesel, and other petroleum products directly from the refinery. This agreement, announced by IPMAN National President Abubakar Garima, aims to ensure a more reliable and cost-effective fuel supply across Nigeria.
Garima shared the news following a meeting with the National Working Committee in Abuja. He confirmed that after discussions with Dangote Group’s management, the refinery has agreed to supply products such as Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), and Dual Purpose Kerosene (DPK) directly to IPMAN’s depots and retail outlets. The move, he said, supports local refining efforts and is expected to stabilize fuel availability and improve pricing for consumers across the nation.
Boosting Local Supply and Economic Growth
This agreement comes months after the Nigerian National Petroleum Corporation (NNPC) decided not to serve as the exclusive distributor for Dangote’s 650,000 barrels per day (bpd) refinery. According to Garima, the new arrangement with Dangote is anticipated to enhance supply chain efficiency and reduce dependence on imports, which has historically strained Nigeria’s foreign exchange reserves.
“Relying on Dangote Refinery and Nigerian refineries for white products will not only support job creation but also aligns with President Bola Tinubu’s renewed hope agenda,” Garima stated. He further noted that negotiations with Dangote could lead to competitive pricing, though no specific figures were disclosed at this stage.
Paving the Way for Compressed Natural Gas (CNG) Adoption
In a forward-looking move, IPMAN is also preparing to expand its focus to Compressed Natural Gas (CNG) as an alternative energy source. Garima highlighted that IPMAN is working with the Federal Government to establish CNG refilling stations nationwide. This transition is part of a larger strategy to diversify Nigeria’s energy landscape, with CNG seen as a cleaner and more affordable fuel option that can bolster Nigeria’s economy over time.
“CNG has immense potential to support Nigeria’s economic growth. IPMAN is committed to this transition and will partner with the government to ensure the necessary infrastructure and incentives for a seamless shift,” Garima said.
Looking Ahead
This agreement with Dangote Refinery is expected to benefit Nigeria’s petroleum sector by improving supply reliability, creating jobs, and supporting the government’s economic objectives. With plans to supply products to over 30,000 IPMAN members and 150,000 retail outlets, this collaboration marks a major step in Nigeria’s journey toward self-sufficiency in fuel production.
