The Independent Petroleum Marketers Association of Nigeria (IPMAN) has redirected its focus to the Dangote Petroleum Refinery following a 4.7% increase in the depot price of Premium Motor Spirit (PMS), which rose from N907 to N950 per litre within a week.
The price surge is linked to the escalating cost of crude oil, which climbed to $80 per barrel this week from $73 per barrel last week.
Speaking on the development, IPMAN’s Public Relations Officer, Mr. Chinedu Ukadike, revealed, “We have encouraged our members to source petrol directly from Dangote Refinery. It’s more cost-effective than relying on private depot owners.”
He noted that the refinery offers PMS at N909 per litre, with a minimum purchase requirement of two million litres. Additionally, members can buy from MRS, which distributes Dangote’s products.
IPMAN’s National President, Alhaji Garima, confirmed that while some members still purchase PMS from the Nigerian National Petroleum Company Limited (NNPCL) at N899.50 per litre, the Dangote-MRS arrangement provides significant cost advantages.
“Many marketers prefer MRS because of the incentives they provide,” Garima explained. “For instance, petrol transported from Lagos to Kano is sold at N850 per litre, enabling marketers to sell at N935 per litre.”
He further urged members to collaborate and pool funds to purchase directly from Dangote Refinery, highlighting that the removal of fuel subsidies has introduced a flexible pricing structure.
(Prompt news)