FG to begin sales of crude oil to Dangote, others in naira from October 1

The Federal Government has announced that crude oil sales to Dangote Refinery and other local refineries will begin October 1, 2024.

Wale Edun, Minister of Finance and Coordinating Minister of the Economy, made the statement while meeting with the Implementation Committee in Abuja on Monday.

According to a post on the finance ministry’s official X page, the meeting was intended to discuss progress on major initiatives.

To ensure effective implementation, crucial tasks were identified for parties such as the Nigerian Midstream and Downstream Petroleum Regulatory Authority, the Central Bank of Nigeria, the Nigerian Upstream Petroleum Regulatory Commission, and the African Export-Import Bank.

The post read, “The Minister of Finance and Coordinating Minister of the Economy, Mr. Wale Edun, today led the Implementation Committee meeting on the transition to crude oil sales in naira.

“The meeting reviewed progress on key initiatives, including the upcoming commencement of naira payments for crude oil sales to the Dangote Refinery starting October 1, 2024.”

Also, the Executive Chairman of the Federal Inland Revenue Service, Dr Zacch Adedeji, and the Chairman of the Technical Sub-Committee reported that “The first PMS delivery from Dangote is expected next month under existing agreements.”

It also stated that updates were provided on the Port Harcourt and Dangote Refineries were also provided, with significant production increases expected from November 2024.

The minister highlighted the need of transparency and asked the Technical Sub-Committee to finalize details and provide a report for the President, indicating that his directions will be implemented beginning in September.