The Dangote Petroleum Refinery has entered an agreement to supply 240 million litres of petrol monthly to the Independent Petroleum Marketers Association of Nigeria (IPMAN).
News About Nigeria reports that the refinery will deliver 60 million litres of petrol weekly to independent marketers, culminating in 240 million litres at the end of each month.
This agreement was disclosed by IPMAN National Publicity Secretary, Chinedu Ukadike, during an interview on Sunday. Ukadike revealed that the arrangement allows IPMAN members to lift petrol directly from the refinery, bypassing middlemen.
Ukadike stated that IPMAN members will commence weekly fuel lifting from the refinery this November.
He said, “We are going to off-take the product in millions of litres. Previously, most imported products in Nigeria were distributed through IPMAN. We can off-take no matter the volume produced. Dangote has offered over 60 million litres weekly, depending on our patronage, and we will distribute it nationwide once lifting begins.”
He explained that discussions between IPMAN and the Dangote Refinery are in the final stages, with documentation almost complete.
“The meeting between IPMAN and Dangote Refinery was held last week. Documentation is being finalized, and once sorted, we will start off-taking PMS from the plant before the end of this month. The Dangote Group has assured us that we can start lifting products immediately if we’re ready,” Ukadike added.
On plans to ensure smooth operations, Ukadike stated, “IPMAN has organized its members and developed a Special Purpose Vehicle to facilitate product off-take from the refinery. This eliminates the need for individual marketers purchasing small quantities, as IPMAN will now operate as a major distributor with guaranteed funds.”
He emphasized the importance of this measure in enhancing efficiency, saying, “Gone are the days when dealers would claim to have products and lock up our funds in their system. This agreement ensures a more effective and reliable distribution value chain.”
