THE INSIDER: Why NNPC hiked petrol price and quit as middleman to Dangote

Oct. 10, 2024 - TheCable

The Dangote refinery officially began petrol production on September 3 with plans to sell only to the NNPC. It is understood that the volume provided by the Dangote refinery within 15 days “was barely enough for the amount required for only two days”.

OIL PRICE, FX VOLATILITYThe unit price per litre tumbled with the prevailing foreign exchange (FX) rate, resulting in a change in the price of the commodity about six times within the 15 days under scrutiny. By September 18, according to the source, the product price and FX rate increased to $759.

1 and N1,656.49/$, respectively.

Advertisement“However, by September 20, the product price slimmed along with the FX rate which dropped to N1,544.02, bringing the PMS price to N893.

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