The Independent Petroleum Producers Group (IPPG), an umbrella association of indigenous oil and gas-producing firms, has expressed its members’ rejection of President Bola Tinubu’s directive to sell crude oil to Dangote Refinery and other local counterparts in naira.

In a letter dated August 16, 2024, addressed to the Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), Mr. Gbenga Komolafe, the IPPG called on the Nigerian National Petroleum Company Limited (NNPC) to redirect its allocated crude oil volumes to Dangote Refinery and other local refineries.

This move aims to mitigate the current crude supply shortage faced by local refiners, which has impacted product availability in many parts of Nigeria. The IPPG emphasized that the NNPC should reserve its dedicated crude oil volume for domestic refineries, while any national production above this allocated volume should be treated as export volumes.

By doing so, the group aims to balance domestic consumption needs and foreign exchange earnings. The situation remains closely monitored as the IPPG continues to advocate for fair market-driven solutions.