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Dangote, Local Refineries To End Fuel Importation

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Owners of local refineries in Nigeria, including the Dangote Petroleum Refinery, say they can help the country stop the importation of refined petroleum products in 18 months if the Federal Government works with their plans.

The refiners, who spoke under the aegis of the Crude Oil Refiners Association of Nigeria (CORAN), said there are other refineries at different stages of completion to join the 650,000-capacity Dangote Petroleum Refinery.

In an interview, CORAN Publicity Secretary, Eche Idoko, told The PUNCH that the Dangote refinery and others in the country can satisfy the fuel needs of the nation.

Idoko’s comment is coming at a time when the Chief Executive of the Nigerian Midstream and Downstream Regulatory Authority, Farouk Ahmed, said the country would not stop fuel importation to break the Dangote monopoly and ensure energy security.

The CORAN official argued that there was no way the government would tackle rising inflation if it did not address the high cost of fuel, especially by working with the local refiners.

“You can’t tackle inflation if you don’t address the pump price of petroleum products. You cannot say you have a plan to step down inflation and you are not involving the key sectors like the refineries; you have to involve us, let’s work together.

“And CORAN is saying that, in 18 months, if the Nigerian government will work with our programmes and plans, in 18 months, we can stop the importation of petroleum products completely. There are refineries in different stages of completion. In 18 months, we can produce what Nigeria will consume,” he stated.

Idoko said Nigeria has enough crude oil to feed Dangote and other refineries but noted that crude theft has been the major challenge to the upstream oil sector.

“We have the crude oil to feed these refineries and more fields are being licensed by the day. So, there will be crude to feed the refineries. Our production figure is dropping because of the crude that is being stolen daily.

“When we have local refineries, crude theft will be reduced. People steal crude through the pipelines and most of the refineries are located close to some of these fields. What this does is that the crude oil producers will no longer need to pump their crude through the pipelines to the terminal for export.

“The local refineries will just truck from the fields or get a short pipeline or barge from their fields to these places. We are losing heavily because unscrupulous elements are stealing crude from the long pipelines,” Idoko stated.

The CORAN official said the international oil companies are supposed to sell crude oil to local refineries at a price lower than the international price.

He asked the Federal Government to ensure that crude oil is sold in naira and not dollars, saying this would reduce the cost of fuel production and the pressure on the local currency.

He mentioned that ending the importation of fuel would strengthen the naira against the dollar, asking that the IOCs should start selling fuel directly to local refiners instead of referring them to their trading agents in Europe.

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) boss had earlier warned that Nigeria could not rely heavily on the Dangote refinery for its fuel supply.

According to him, the refinery had requested the regulator to stop giving import licenses to other marketers to be the only fuel supplier in Nigeria.

“We cannot rely heavily on one refinery to feed the nation, because Dangote is requesting that we should suspend or stop importation of all petroleum products, especially AGO and direct all marketers to the refinery, that is not good for the nation in terms of energy security. And that is not good for the market, because of monopoly,” Ahmed stressed.

However, the President of Dangote Group, Aliko Dangote, denied the allegation, wondering how he could be a monopoly when the Nigerian National Petroleum Company Limited (NNPCL) is renovating government-owned refineries with $4bn.

Many Nigerians have been calling on the Federal Government to support local refineries and stop the importation of fuel. They expressed hope that this would crash the pump price of petrol and diesel.

Dangote, who has been lamenting over the alleged refusal of the international oil companies to supply crude to his refineries, recently said he would begin the supply of petrol between August 10 and 12.

However, an official of the Dangote Group told our correspondent anonymously that the refinery might export its petrol if the current crude crisis persists.

Meanwhile, shareholders have condemned the Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Farouk Ahmed, for saying the Dangote refinery was producing diesel with higher sulphur content than imported ones.

The group, under the aegis of Pragmatic Shareholders Association of Nigeria, in a statement signed by their National Coordinator, Mrs Bisi Bakare, expressed dismay over the allegations from the regulator regarding the quality of diesel produced by Dangote.

Bakare commended Dangote for his visionary step in establishing one of the world’s largest refineries. She highlighted Dangote’s commitment to national development, stressing his patriotism and resolute character through substantial investments like the refinery.

“Dangote has ensured that the bulk of his business investments are local, contributing significantly to economic development through tax payments, extensive job creation, and consistent returns for shareholders,” she added.

The group condemned what it termed “unwarranted efforts to demarket the refinery” by regulatory bodies.

It cautioned that such actions could deter both local and international investors and undermine the government’s efforts to stabilise fuel prices and ensure availability.

“We must rally around Dangote refinery to provide crucial support such as crude oil allocation, cooperation from international oil companies, and regulatory agency collaboration,” she noted.

Bakare said the refinery has the potential to save Nigeria over 30 per cent in foreign exchange currently spent on offshore refining, which could significantly alleviate the country’s foreign exchange challenges.

“As shareholders, we remain steadfast in our support of Alhaji Aliko Dangote’s vision to bolster the nation’s economy and create more opportunities for our citizens,” she submitted.

Last week, the Management of Dangote Group insisted that the IOCs were still frustrating crude supply to the 650,000-capacity refinery.

In a statement, the group alleged that the IOCs insisted on selling crude oil to its refinery through their foreign agents, saying the local price of crude will continue to increase because the trading arms offer cargoes at $2 to $4 per barrel, above NUPRC official price.

The group also alleged that the foreign oil producers seem to be prioritising Asian countries in selling the crude they produce in Nigeria.

The Vice President, Oil & Gas, Dangote Industries Limited, Mr DVG Edwin, said: “If the Domestic Crude Supply Obligation guidelines are diligently implemented, this will ensure that we deal directly with the companies producing the crude oil in Nigeria as stipulated by the Petroleum Industry Act.”

Edwin insisted that IOCs operating in Nigeria have consistently frustrated the company’s requests for locally-produced crude as feedstock for its refining process.

He highlighted that when cargoes are offered to the oil company by the trading arms, it is sometimes at a $2 to $4 (per barrel) premium above the official price set by the Nigerian Upstream Petroleum Regulatory Commission.

“As an example, we paid $96.23 per barrel for a cargo of Bonga crude grade in April (excluding transport). The price consisted of a $90.15 dated Brent price plus a $5.08 NNPC premium plus a $1 trader premium. In the same month, we were able to buy WTI at a dated Brent price of $90.15 + $0.93 trader premium including transport. When the Nigerian National Petroleum Company Limited subsequently lowered its premium based on market feedback that it was too high, some traders then started asking us for a premium of up to $4m over and above the NSP for a cargo of Bonny Light.

“Data on platforms like Platts and Argus shows that the price offered to us is way higher than the market prices tracked by these platforms. We recently had to escalate this to NUPRC,” Edwin said, urging the commission to take a second look at the issue of pricing.

Edwin was reacting to a statement by the Chief Executive of the NUPRC, Gbenga Komolafe, who in an interview on national television said, “It is ‘erroneous’ for one to say that the International Oil Companies are refusing to make crude oil available to domestic refiners, as the Petroleum Industry Act has a stipulation that calls for a willing-buyer, willing-seller relationship.”

While noting that the commission has been very supportive of the Dangote refinery as it has intervened several times to help secure crude supply, Edwin, however, insisted that the NUPRC boss might have been misquoted by some people hence his statement that IOCs did not refuse to sell to us.

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Igbos Responsible For Killings, Kidnappings In South-East – Joe Igbokwe

“From Anambra to Enugu State, from Enugu to Ebonyi State, from Ebonyi to Abia State and from Abia to Imo State it is no longer Fulani Herdsmen.
“It’s Igbo kidnapping Igbo, it is Igbo killing Igbo, it is Igbo destroying Igboland. So that you know”.

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A chieftain of the All Progressives Congress, APC, Joe Igbokwe has blamed the deteriorating security situation in the South-East on activities of some citizens of the region.

In a controversial post on his official Facebook page on Monday, Igbokwe exonerated Fulani herdsmen that were hitherto accused of causing the mayhem in the South-Eastern part of the nation.

According to Igbokwe, Igbos are the ones “destroying” the five states in the geo-political zone.

He wrote, “From Anambra to Enugu State, from Enugu to Ebonyi State, from Ebonyi to Abia State and from Abia to Imo State it is no longer Fulani Herdsmen.

“It’s Igbo kidnapping Igbo, it is Igbo killing Igbo, it is Igbo destroying Igboland. So that you know”.

JomogNews reports that the APC chieftain has been vocal against the wanton killings allegedly being carried out by members of the Indigenous People of Biafra, IPOB.

Some prominent personalities were recently kidnapped and killed by the daredevil criminal elements.

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UCH Power Crisis Embarrassment To Nigerian Government – Minister

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The Ibadan Electricity Distribution Company, IBEDC, has agreed to restore electricity supply at the University College Hospital, UCH, Ibadan.

The announcement was made on Monday during a visit of the Minister of Power, Adebayo Adelabu to the hospital.

Recall that UCH has been having power crisis in the last one year.

The power supply to the hospital was cut of by IBEDC three times in 2024.

The electricity distribution company has now agreed to restore the power supply within 48 hours.

This was part of the resolutions of the tripartite meeting between Adelabu, the Chief Medical Director of UCH, Professor Jesse Otegbayo, and the management team of the Ibadan Electricity Distribution Company, IBEDC, led its Managing Director, Francis Agoha.

Our correspondent reports that while the meeting was ongoing, some medical students were protesting close to the venue of the meeting.

Adelabu, who spoke after the meeting, said that all the issues relating to the lingering power crisis had been resolved.

He described the lingering power crisis as not only an embarrassment to the management of the hospital but the federal government.

“Power crisis in the UCH has gone to embarrassing level. It is quite embarrassing to have the hospital in total darkness for so long. I have intervened in the matter several times but the problem still lingers.

“Other Teaching Hospitals, including the University of Benin Teaching Hospital, Lagos University Teaching Hospital, (LUTH), University of Calabar, Maidiguri and Abuja that had similar issue were able to surmount it through the Federal government intervention of Solar mini grid.

“Similar thing will be done at the University of Ibadan and the College of Medicine. The Federal government will install 50 mgw solar mini grid which will be completed within the first and second quarter of the year.

“Also, while this is going on, the IBEDC has agreed to restore electricity to some sections of the Hospital within 48 hours while N283m will be settled on an instalment basis.

“The management of the UCH has agreed on immediate settlement of the debt on instalment payment which is going to be between 8-12 months in addition to the current bill,” he stated.

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Polaris Bank, Partners Take Presentation Of School Essentials To Gbaja Girls Secondary Schools, Lagos

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Polaris Bank and one of its strategic CSR partners, Evolve Trust Charity on Wednesday stormed Gbaja Girls (Junior and Senior) High School, Surulere, Lagos in continuation of its presentation of school essentials programme to selected public school students in the country.

The partnership which birthed in 2021 and primarily focused on empowering the girl-child and their male counterparts has reached over 15,000 students across 35 public schools in nine states including Lagos, Kano, Kogi, Imo and FCT, Abuja. Amongst other things, the initiative includes empowering young learners with brain training techniques and emotional intelligence education alongside making and distributing user-sized school essentials (bags, uniforms, sandals, books, and pens). The initiative also captures training of teachers in the respective schools, all sponsored by the Bank.

Speaking at the presentation on Wednesday, the Bank’s Executive Director, Corporate and Investment Banking, Mrs. Abimbola Ozomah emphasized that the Bank being a signatory to United Nations’ (UN) Principles for Responsible Banking aligns its practices and strategies with the UN’s Sustainable Development Goals and the Paris Climate Agreement thus igniting its sustained interests in the training of the girl-child.

According to data from the United Nations Educational, Scientific and Cultural Organisation (UNESCO), there are about 10.5 million out of school children in Nigeria with six million of them being girls.

“This event is not just about distributing educational materials but empowering girls for bigger roles because educated girls grow into informed women. At Polaris Bank, we are committed to bridging the educational gap, empowering girls and building sustainability aligning with global framework,” she said.

The Executive Director further charged the students to embrace the opportunities inherent in education while stating that the Bank will stop at nothing to support them.

“Education is most powerful tool at your disposal and you have to utilize it to the maximum. Polaris Bank will not relent in supporting this laudable mission to empower girls who will drive the needed change to better our country and world. This intervention is in line with the Bank’s ongoing sustainability efforts aimed at reducing out-of-school children population and increasing access to quality education, especially for the girl-child and we urge you all to take full advantage,” Ozoma noted.

Also speaking, Programme Manager at Evolve Charity Trust, Ejeh Godwin thanked Polaris Bank for keying into the Trust’s mission of supporting the girl-child nationwide. Godwin noted that while the initiative commenced in 2020, Polaris Bank partnered in 2021 and the Bank has never for once backed out since then.

“I want to specially appreciate Polaris Bank for their tremendous support since 2021 that the partnership started. We couldn’t have done this alone nor come this far without their support. We’ve expanded our reach and hope to even bring more schools in other states on board this year, all thanks to Polaris Bank,” Ejeh said.

The Principal, Gbaja Girls Junior High School, Mrs Dabiri Nwabuoku Adetoun Iyabo in her remarks also appreciated Polaris Bank for including the school in the intervention programme.

“I want to specially thank Polaris Bank on behalf of staff and students for finding us worthy of benefitting from this laudable programme. You can feel the energy in the hall that the students are happy and so are the staff. This has boosted our morale, and we are incredibly happy about it,” the Principal enthused.

One of the beneficiaries and Assistant Senior Girl of the school, Bankole Oreofeoluwa Emmanuella also thanked the Bank for symbolic gesture while promising to put the items into judicious use.

“My friends and I are happy about this gesture from Polaris Bank, and we can’t thank the bank enough. These items will further ease our learning, and we promise to not only put them to judicious use, but imbibe good maintenance culture,” Bankole said.

Highlight of the event was the presentation of the items to students by officials of Polaris Bank and Evolve Charity Trust.

 

Photo caption:
PHOTO CAPTION
L-R: Divisional Head, SURULERE Business, Dr. Bimbo Akorede; Principal Gbaja Junior Girls School, Mrs.Tawakalitu Dahiru; ED, Corporate & Investment Banking, Polaris Bank, Mrs. Abimbola Ozomah; ED PaceGate Limited, Raj Totlani, Group Head, Customer Experience & Value Mngt; Bukola Oluyadi & GM, Evolve Charity Trust, Mr. Godwin Ejeh when Polaris Bank & Evolve Charity Donated over 200 Schools essentials to both Gbaja Junior and Senior Secondary Schools in SURULERE last week in Lagos

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