Metro Plus

FEC approves NNPC to sell crude to Dangote refinery in Naira

The Federal Executive Council has approved proposal by President Bola Tinubu to sell crude to Dangote Refinery and other upcoming refineries in Naira.

The decision is to ensure the stability of the pump price of refined fuel and the dollar-Naira exchange rate.

This was made known via a post by the President’s Special Adviser on Information and Strategy, on Monday, July 29.

The post reads: “To ensure the stability of the pump price of refined fuel and the dollar-Naira exchange rate, the Federal Executive Council today adopted a proposal by President Tinubu to sell crude to Dangote Refinery and other upcoming refineries in Naira.

“Dangote Refinery at the moment requires 15 cargoes of crude, at a cost of $13.5 billion yearly. NNPC has committed to supply four.

“But the FEC has approved that the 450,000 barrels meant for domestic consumption be offered in Naira to Nigerian refineries, using the Dangote refinery as pilot. The exchange rate will be fixed for the duration of this transaction.

“Afreximbank and other settlement banks in Nigeria will facilitate the trade between Dangote and NNPC Limited. The game changing intervention will eliminate the need for international letters of credit. It will also save the country of billions of dollars used in importing refined fuel.”

Source: X | aonanuga1956

Yusuf Asibu

Reporter & Publisher

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button