The Nigerian National Petroleum Company (NNPC) Limited has acknowledged that it is indebted to providers of premium motor spirit (PMS), also known as petrol.
In a statement issued on Sunday by Olufemi Soneye, the company’s chief corporate communications officer, the NNPCL admitted its debt.
In the early hours of Sunday, some newspapers reported the looming petrol scarcity in some and many parts of the country which has been worsened by a $6 billion debt
News About Nigeria reports that NNPC said it is facing financial strain due to the petrol supply costs, and this is affecting the company’s ability to sustain PMS supply.
“NNPC Ltd. has acknowledged recent reports in national newspapers regarding the company’s significant debt to petrol suppliers,” the company said.
“This financial strain has placed considerable pressure on the Company and poses a threat to the sustainability of fuel supply.
“In line with the Petroleum Industry Act (PIA), NNPC Ltd. remains dedicated to its role as the supplier of last resort, ensuring national energy security.
“We are actively collaborating with relevant government agencies and other stakeholders to maintain a consistent supply of petroleum products nationwide.”
In December 2023, Aliko Dangote, Africa’s leading industrialist, commenced operations at his $20bn facility sited in Lagos with 350,000 barrels a day.
The refinery, which has been bogged by regulatory battles, hopes to achieve its full capacity of 650,000 barrels per day by the end of the year.
The refinery has begun the supply of diesel and aviation fuel to marketers in the country while petrol supply is expected to commence soon.
