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Dangote refinery insists international oil companies are frustrating its crude supply demands

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Nasiru Yusuf Ibrahim

 

The Management of Dangote Industries Limited (DIL) has commended the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) for its various interventions in the oil company’s crude supply requests from International Oil Companies (IOCs), and for publishing the Domestic Crude Supply Obligation (DCSO) guidelines to enshrine transparency in the oil industry.

KANO FOCUS reports that the Vice President, of Oil & Gas, Dangote Industries Limited, Mr. DVG Edwin however said: “If the Domestic Crude Supply Obligation (DCSO) guidelines are diligently implemented, this will ensure that we deal directly with the companies producing the crude oil in Nigeria as stipulated by the PIA.”

Edwin insisted that IOCs operating in Nigeria have consistently frustrated the company’s requests for locally produced crude as feedstock for its refining process.

He highlighted that when cargoes are offered to the oil company by the trading arms, it is sometimes at a $2-$4 (per barrel) premium above the official price set by NUPRC. “As an example, we paid $96.23 per barrel for a cargo of Bonga crude grade in April (excluding transport). The price consisted of $90.15 dated Brent price + $5.08 NNPC premium (NSP) + $1 trader premium. In the same month, we were able to buy WTI at a dated Brent price of $90.15 + $0.93 trader premium including transport. When NNPC subsequently lowered its premium based on market feedback that it was too high, some traders then started asking us for a premium of up to $4m over and above the NSP for a cargo of Bonny Light”

“Data on platforms like Platts and Argus shows that the price offered to us is way higher than the market prices tracked by these platforms. We recently had to escalate this to NUPRC”, Edwin said and urged the regulatory commission to take a second look at the issue of pricing.

Edwin’s response came against the background of a statement by the Chief Executive Officer of NUPRC, Engr. Gbenga Komolafe, in an interview on ARISE News TV said that “it is ‘erroneous’ for one to say that the International Oil Companies (IOCs) are refusing to make crude oil available to domestic refiners, as the Petroleum Industry Act (PIA) has a stipulation that calls for a willing buyer-willing seller relationship.”

Edwin noted that “The NUPRC has been very supportive to the Dangote Refinery as they have intervened several times to help us secure crude supply. However, the NUPRC Chief Executive was probably misquoted by some people hence his statement that IOCs did not refuse to sell to us. To set the records straight, we would like to recap the facts below.

“Aside from Nigerian National Petroleum Corporation Limited (NNPCL), to date, we have only purchased crude directly from one other local producer (Sapetro). All other producers refer us to their international trading arms.

“These international trading arms are non-value adding middlemen who sit abroad and earn margin from crude being produced and consumed in Nigeria. They are not bound by Nigerian laws and do not pay tax in Nigeria on the unjustifiable margin they earn.

“The trading arm of one of the IOCs refused to sell to us directly and asked us to find a middleman who would buy from them and then sell to us at a margin. We dialogued with them for 9 months and in the end, we had to escalate to NUPRC who helped resolve the situation,” Edwin stated.

According to him, “When we entered the market to purchase our crude requirement for August, the international trading arms told us that they had entered their Nigerian cargoes into a Pertamina (the Indonesia National Oil Company) tender, and we had to wait for the tender to conclude to see what is still available.

“This is not the first time. In many cases, particular crude grades we wish to buy are sold to Indian or other Asian refiners even before the cargoes are formally allocated in the curtailment meeting chaired by NUPRC.

“However, we would like to urge NUPRC to take a second look at the issue of pricing. NUPRC has severally asserted that transactions should be on a willing seller / willing buyer basis. The challenge however is that market liquidity (many sellers / many buyers in the market at the same time) is a precondition for this. Where a refinery needs a particular crude grade loading at a particular time then there is typically only one participant on either side of the market.

“It is to avoid the problem of price gouging in an illiquid market that the domestic gas supply obligation specifies volume obligation per producer and a formula for transparently determining pricing. The fact that the domestic crude supply obligation as defined in the PIA has gaps is no reason for wisdom not to prevail”, Edwin stated.

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Insecurity, hunger have deepened Northern Nigeria’s distrust of Tinubu, Imam Gusau says

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The cleric urges the federal government to prioritise security, protect farming communities and provide direct relief to vulnerable households.

Nasiru Yusuf Ibrahim

The Chief Imam of Nagazi-Uvete Jumu’ah Mosque and the late Alhaji Abdur-Rahman Okene’s Mosque in Okene, Kogi State, Malam Murtadha Muhammad Gusau has called on President Bola Ahmed Tinubu’s administration to address insecurity and economic hardship in Northern Nigeria, saying the twin challenges have deepened public frustration and weakened confidence in government.

 

KANO FOCUS reports that in his Friday sermon delivered, the cleric said the grievances in the region were rooted primarily in persistent insecurity and the rising cost of living rather than ethnic differences or political disagreements.

 

The sermon, titled “A Sincere Cry From Northern Nigeria,” examined the government’s responsibility to protect citizens, ensure their welfare and uphold justice from the perspective of Islamic teachings.

 

Imam Gusau said banditry, terrorism and kidnapping had prevented farmers from accessing their farmlands, disrupted transportation and exposed families to persistent fear.

 

“Without peace, there can be no worship, no business, no education, no farming,” he said, arguing that protecting lives and property must remain the government’s foremost responsibility.

 

He added that the economic reforms introduced by the Tinubu administration, particularly the removal of petrol subsidies and the floating of the naira, had contributed to rising prices of essential commodities, including maize, millet and rice.

 

According to the imam, the combined effects of insecurity and inflation have placed an enormous burden on households, particularly in a region heavily dependent on agriculture and road transportation.

 

‘Security must come first’

 

Imam Gusau argued that economic recovery would remain difficult to achieve without lasting improvements in security.

 

He said farmers could not produce enough food if they were afraid to cultivate their land, while investments in businesses and other economic activities would yield limited benefits in communities affected by violence.

 

The cleric urged the federal government to intensify security operations in agricultural areas, protect vulnerable communities and ensure that farmers could return safely to their fields.

 

He also called for targeted food and agricultural support to reach vulnerable households directly, warning against the diversion of assistance through bureaucratic processes.

 

Although he acknowledged the administration’s reported security initiatives, the imam said more decisive action was needed to protect rural communities, highways and farming settlements.

 

He maintained that the success of the government should be measured not only by economic indicators or international engagements but also by whether ordinary Nigerians could travel safely, sleep peacefully in their homes and work on their farms without fear.

 

Leadership as a trust

 

Imam Gusau said Islamic teachings regard leadership as a sacred responsibility, or amanah, for which those in authority would be held accountable before Allah.

 

Quoting a prophetic tradition reported in Sahih al-Bukhari, he reminded leaders that every person entrusted with responsibility would be questioned about those under their care.

 

He cited the example of Umar ibn al-Khattab, the second Caliph of Islam, whose concern for the welfare of citizens was reflected in accounts of his personal efforts to understand the difficulties facing ordinary people.

 

The imam said the example illustrated the importance of accountability, compassion and responsible use of public resources.

 

He also referred to the Islamic legal maxim that the exercise of authority over citizens must be guided by their welfare and best interests.

 

According to him, government policies should prioritise the protection of lives, education, healthcare, family welfare and economic security, particularly for the most vulnerable members of society.

 

He explained that these responsibilities were consistent with the higher objectives of Islamic law, known as Maqasid al-Shariah, which include the preservation of life, religion, intellect, lineage and wealth.

 

Calls for compassion and accountability

 

The cleric warned that persistent insecurity and hardship could further alienate citizens if the government failed to respond to their concerns with practical measures.

 

He urged leaders to demonstrate compassion through policies that directly address the needs of ordinary Nigerians rather than relying solely on assurances of future prosperity.

 

He also condemned the activities of bandits, terrorists and kidnappers, stressing that Islam places a high value on human life and prohibits the unjust killing of innocent people.

 

Imam Gusau called on communities to support victims of violence, assist displaced families and strengthen cooperation across religious and social divides.

 

He said collective solidarity was essential to preventing insecurity from destroying relationships and deepening divisions among Nigerians.

 

The imam also encouraged Muslims to remain steadfast in their faith, practise patience and seek Allah’s forgiveness while working to improve their circumstances.

 

He cautioned against allowing political frustration to weaken religious conviction, arguing that Muslims should combine prayers and repentance with personal integrity, compassion and responsible conduct.

 

However, he stressed that spiritual responses to hardship should not diminish the responsibility of leaders to protect citizens and provide for their welfare.

 

Urges Nigerians to uphold integrity

 

Imam Gusau further called on Nigerians to examine their own conduct, saying the fight against corruption and injustice should begin with individuals and communities.

 

He urged traders and business owners to avoid exploiting consumers through artificial price increases and dishonest practices, particularly during periods of economic difficulty.

 

He said citizens should maintain honesty, support one another and avoid despair despite the challenges facing the country.

 

The cleric concluded that Northern Nigeria needed peace, justice and economic relief, insisting that improved security and effective welfare measures would help restore public confidence and encourage cooperation between citizens and government.

 

**Mr Gusau is the Chief Imam of Nagazi-Uvete Jumu’ah Mosque and the late Alhaji Abdur-Rahman Okene’s Mosque in Okene, Kogi State.

 

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Kano Police return recovered car, motorcycle to owners

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Nura Abdullahi

 

The Kano State Police Command has handed over two recovered vehicles to their rightful owners following intelligence-led operations.

 

KANO FOCUS reports that the recovered properties, comprising an orange Vibe motor vehicle and an ash-coloured Haojue motorcycle, were formally handed over to their owners at the Command Headquarters in Bompai, Kano, during the week.

 

The command disclosed this in a press release issued on Friday, by its Police Public Relations Officer, CSP Abdullahi Haruna Kiyawa.

 

According to the statement, the handover followed the completion of ownership verification, authentication of relevant documents and other necessary procedures.

 

The beneficiaries expressed gratitude to the police, commending the command for its professionalism, commitment to justice and prompt return of their properties.

 

They described the recovery and handover as evidence of responsive and people-friendly policing.

 

The Commissioner of Police, Ibrahim Adamu Bakori, congratulated the owners and said the exercise aligned with the policing vision of the Inspector-General of Police, Olatunji Rilwan Disu.

 

The vision, according to the statement, emphasises the protection of lives and property, the return of recovered stolen property to victims of crime, and the promotion of public trust through transparent and accountable service delivery.

 

CP Bakori assured residents that the command would continue working to improve security across Kano State and ensure that recovered stolen property was returned to its legitimate owners after due verification.

 

The police urged anyone seeking further information to contact the investigating police officer on 08140081608 or visit the office of the Police Public Relations Officer at the Bompai Police Headquarters, Kano.

 

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JONAPWD Kano to hold leadership election Saturday

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Ibrahim Khalil

The Joint National Association of Persons with Disabilities (JONAPWD), Kano State Chapter, will hold its leadership election on Saturday, October 10, 2026, to elect new executives for the association.

KANO FOCUS reports that the election will take place at the Social Welfare Department, Gyadi-Gyadi Court Road, Kano.

Ahead of the exercise, the Chairman of the JONAPWD Kano State Chapter Electoral Committee, Malam Yusha’u Ibrahim Kofar Waika, has urged members, accredited delegates and representatives of the various disability clusters to arrive at the venue on time.

He said punctuality and adequate preparation were necessary to ensure a smooth and orderly electoral process.

Kofar Waika also called on all disability clusters to make the necessary arrangements and participate actively in the election.

The exercise is expected to usher in a new leadership for the association in Kano State.

The election is an important step towards strengthening democratic participation, unity and inclusive leadership among persons with disabilities in the state.

It is also expected to support effective representation and advocacy for the rights and welfare of persons with disabilities.

 

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