Marketers Sue Dangote, Insist On Petrol Import

Shafa, A. A. Rano, and Matrix Petroleum, however, responded that Dangote refinery does not produce adequate petroleum products for the daily consumption of Nigerians.

They noted that the plaintiff had not placed anything before the court to prove the contrary.

They argued that they are well qualified and entitled to be issued an import licence by NMDPRA to import petroleum products in Nigeria within the meaning of Section 317(9) of the PIA.

They also noted that they are fully qualified for the issuance of the import licences issued to them by the 1st defendant, as they duly met all the legal requirements for the issuance of such import licences, before the same were issued to them.

“The import licences lawfully and validly issued to the defendants did not in any way whatsoever, cripple the plaintiff’s business or its refinery.

“The import licenses issued to the defendants by the 1st defendant are in line with the provisions of the Petroleum Industry Act, 2021, the Federal Competition and Consumer Protection Act, 2018, and other relevant laws,” they contended.

They insisted that giving Dangote Refinery the power of monopoly in Nigeria’s petroleum industry as it sought in the instant suit, would kill competitive pricing of petroleum products in the country.

Stressing that such an act would further deteriorate the country’s critically ailing economy.

They also added that it would “unleash untold hardship on Nigerians, all of which constitute a recipe for disaster in the polity.”.

The marketers explained that if Nigeria puts all her energy eggs in one basket by stopping the importation of petroleum products and allowing the plaintiff to be the sole producer and supplier of petroleum products in Nigeria, with liberty to determine the prices at which it supplies the products, the prices of petroleum products will continue to rise and energy security will elude Nigeria.

They also noted that should the refinery break down as a monopolized sector, the country will be plunged into a hot mess of an energy crisis.

“That in the event of any breakdown in or obstruction to the production chain of the plaintiff that stops it from producing Nigeria, it will be thrown into an energy crisis because it does not have the reserves that would last it for at least 30 days that it would need to order, pay for, freight, and import refined products into tanks in Nigeria.

“That, amidst the glaring absence of any credible and demonstrable proof that the plaintiff refines and supplies adequate petroleum products for the daily use/consumption of Nigerians, is a recipe for disaster in Nigeria’s energy sector.”

They further told the court that granting the reliefs sought by the plaintiff was a design to leave Nigeria and Nigerians at the mercy of the plaintiff with respect to the availability and cost of purchasing petroleum products in the country.

The presiding judge, Justice Inyang Ekwo, fixed January 20, 2025, for a report of settlement or service.

Dangote exports products

Meanwhile, three foreign firms have accounted for about 75 percent of what’s being lifted from the 650,000 barrels per day Dangote refinery, a new report has stated.

A report by Bloomberg on Wednesday said Vitol Group, Trafigura Group, and BP Plc are the dominant buyers of fuels from the oil refinery that’s reshaping petroleum trading in Africa and Europe.

The trio has accounted for the vast majority of the plant’s shipments since flows began ratcheting up around the middle of this year, according to data from Precise Intelligence, a new oil-and-gas trading analytics firm based in Geneva.

The report quotes product offtake from February 27 to October 10, with other customers, including the local market, taking 25 percent of total fuel purchases from the company.

Earlier this year, Dangote began operations and kick-started the production of diesel, aviation fuel, and LPG before subsequently progressing to the production of Premium Motor Spirit (petrol).