Home Business Dangote Refinery Accuses Int’l Oil Companies Of Price Manipulation
BusinessNews

Dangote Refinery Accuses Int’l Oil Companies Of Price Manipulation

449
Dangote Refinery Accuses Int'l Oil Companies Of Price Manipulation

Devakumar Edwin, the Vice President of Oil and Gas at Dangote Industries Limited (DIL), has accused International Oil Companies (IOCs) in Nigeria of price manipulation in an attempt to undermine local oil refining.

Edwin disclosed this during a one-day training session conducted by the Dangote Group for a group of energy editors.

The IOCs are intentionally obstructing the refinery’s efforts to purchase local crude by inflating premium prices above market rates,” he stated.

Due to the IOCs’ failure to meet local oil demand, Edwin said, the refinery has been forced to reduce its output and import crude from countries such as the US, leading to increased production costs. This violates the Petroleum Industry Act (PIA), which mandates IOCs to sell crude oil to local refineries in Nigeria before exportation.

In a recent interview with CNN, the chairman and president of Dangote Refinery, Aliko Dangote, also said the IOCs are not complying with the PIA mandates.

Despite the price manipulation hurdle and multiple delays, Dangote Refinery has reportedly started exporting jet fuel to Europe.

With the local difficulties of obtaining crude oil from the international oil companies in Nigeria, the jury remains out on how the refinery will meet its 550,000 litres barrel per day installed capacity.

Read more: Death Toll From Indian Toxic Alcohol Rises To 56

About The Author

Written by
Mayowa Durosinmi

M. Durosinmi is a West Africa Weekly investigative reporter covering Politics, Human Rights, Health, and Security in West Africa and the Sahel Region

Related Articles

Burkinabè Army
NewsSecurity

Burkinabè Army Kills Terrorist Leader Khalidou in Targeted Strike

The Burkinabè army has eliminated terrorist leader Khalidou in a precision airstrike,...

Natasha Petition Recall
News

Recall Petition Against Senator Natasha Fails to Meet Constitutional Requirement – INEC

The Independent National Electoral Commission (INEC) has announced that the petition seeking...

United States tariff on Nigerian exports
FinanceNewsWorld

Trump Imposes Tariffs on Nigeria, Other African Nations

The United States has imposed a 14 per cent tariff on Nigerian...

Niger's Transitional Government released 49 individuals
News

Niger Transitional Govt. Frees 49 Political and Military Figures, Ex-President Bazoum Remains in Detention

Niger’s Transitional Government announced on Tuesday that it had released 49 individuals,...