Dangote Refinery has suspended the sale of its petroleum products in naira, explaining that the decision was necessary to avoid a mismatch between its sales proceeds and crude oil purchase obligations, which are currently denominated in United States dollars.
The refinery announced the suspension in a circular sent to its customers yesterday, which was obtained by THISDAY.
To date, Dangote Refinery said its sales of petroleum products in Naira had exceeded the value of Naira-denominated crude it had received, compelling it to temporarily adjust its sales currency to align with its crude procurement currency.
The Aliko Dangote-owned company said it remained committed to serving the Nigerian market efficiently and sustainably, adding that as soon as it receives an allocation of Naira-denominated crude cargoes from the Nigerian National Petroleum Company Limited (NNPC), it would promptly resume petroleum product sales in Naira.
Dangote Refinery equally debunked reports circulating on the internet, claiming that it was stopping product loading due to an incident of ticketing fraud, describing the reports as malicious falsehoods.
The statement read, "Dear valued customers, we wish to inform you that, Dangote Petroleum Refinery has temporarily halted the sale of petroleum products in Naira.
"This decision is necessary to avoid a mismatch between our sales proceeds and our crude oil purchase obligations, which are currently denominated in U.S. dollars.
"To date, our sales of petroleum products in Naira have exceeded the value of Naira-denominated crude we have received. As a result, we must temporarily adjust our sales currency to align with our crude procurement currency.
"Our attention has also been drawn to reports on the internet claiming that we are stopping loading due to an incident of ticketing fraud. This is malicious falsehood. Our systems are robust and we have had no fraud issues.
"We remain committed to serving the Nigerian market efficiently and sustainably. As soon as we receive an allocation of Naira-denominated crude cargoes from NNPC, we will promptly resume petroleum product sales in Naira.
"We appreciate your understanding and cooperation during this period."
