The Petroleum Products Retail Outlet Owners Association of Nigeria (PETROAN) has announced that retailers will start loading Premium Motor Spirit (PMS) from the Port Harcourt Refining Company this week. This development comes after the refinery commenced operations in November, initially supplying fuel only to retail outlets owned by the Nigerian National Petroleum Company Limited (NNPCL).
According to the Publicity Secretary of PETROAN, Joseph Obele, “NNPC is still telling us to buy at a rate different from the rate they are selling to Lagos at the moment because of logistics. So, Port Harcourt retail outlet owners are not really comfortable with that. Hence, the Port Harcourt refinery will start servicing us this week.”
Obele expressed concerns about the price disparity between Lagos and Port Harcourt, stating, “We are also requesting that the same rate NNPC is selling to our members at Lagos should be the rate they will be selling to us over here in Port Harcourt too. We are not really comfortable with that disparity.”
He emphasized that the current price of N970 per liter in Port Harcourt is higher than the N899 per liter in Lagos, and urged the NNPCL to sell to retailers in Port Harcourt at the same rate as Lagos. Obele said, “The difference is too much. It is N899 per liter in Lagos but N970 in Port Harcourt. It is far higher than that of Lagos.”
Obele clarified that the products marketers currently buy from the NNPCL are imported, and that the refinery’s direct sales to retailers will commence this week. He stated, “No, but it will commence this week. The trucks loading out are for the NNPC retail outlets only.”
The NNPC announced in November that the old 60,000 barrels per day Port Harcourt refinery had resumed operations, with plans to complete rehabilitation works at the new Port Harcourt refinery with 150,000 barrels per day capacity soon. The refinery currently produces naptha, which it blends to produce petrol.
