The Nigerian National Petroleum Company Limited (NNPC Ltd.) has denied allegations made by the Muslim Rights Concern (MURIC) regarding its relationship with the Dangote Refinery Limited (DRL). MURIC claimed that recent adjustments to the pump price of Premium Motor Spirit (PMS) were intended to undermine DRL’s ability to offer competitive prices and that NNPC Ltd. had positioned itself as the sole offtaker of all DRL products.
In a statement released on Saturday via the company’s official X (formerly Twitter) handle, Chief Corporate Communications Officer Olufemi Soneye responded to these claims, emphasizing that pricing in the petroleum market is driven by global market dynamics, not internal manipulations.
“The pricing of petroleum products from any refinery, including the Dangote Refinery Ltd. (DRL), is determined by global market forces,” the statement read. “The recent changes in PMS prices have no impact on DRL or any other domestic refinery’s access to the Nigerian market. If current prices are perceived as high, it presents an ideal opportunity for DRL to sell its products at lower prices in the Nigerian market.”
Soneye further dismissed the claim that NNPC Ltd. had become the sole distributor of DRL’s products. “There is no guarantee of lower prices associated with domestic refining compared to any global parity pricing framework, as confirmed by DRL. The NNPC Ltd. will only fully offtake PMS from DRL if the market prices of PMS are higher than the pump prices in Nigeria,” he clarified.
The NNPC Ltd. also emphasized that the company does not intend to monopolize the market, with Soneye stating: “NNPC Ltd. has no desire or intention to become the distributor for any entity in a free market environment, and therefore, the notion of becoming a sole offtaker does not arise.”
Regarding its stake in the refinery, Soneye underscored the integrity of NNPC Ltd.’s business practices, saying, “The NNPC Ltd. cannot undermine a business in which it holds a billion-dollar stake.”
The company concluded by urging MURIC to verify information before making public statements, warning that flawed allegations have the potential to mislead and incite the public. “As an advocacy group for fair and just treatment, MURIC should have verified the facts before making statements that are entirely flawed and have the potential to incite ordinary Nigerians against NNPC Ltd.,” the statement added.
