Dangote Petroleum Refinery has resumed the sale of Premium Motor Spirit (PMS), popularly known as petrol, in United States dollars after temporarily suspending the arrangement.

The refinery said the decision was necessitated by the structure of its crude oil procurement, explaining that a significant portion of the crude it processes is purchased in foreign currency. According to the company, selling petrol in dollars is necessary to meet its foreign exchange obligations and ensure uninterrupted refinery operations.

The company noted that the temporary suspension of dollar sales was part of efforts to review its operational framework amid ongoing discussions surrounding Nigeria’s crude supply arrangements and the crude-for-naira policy.

Industry stakeholders say the resumption of dollar-denominated petrol sales could increase pressure on independent fuel marketers, who may need to source additional foreign exchange to purchase products from the refinery. Analysts also believe the development could have implications for pump prices if marketers pass the additional costs on to consumers.

The refinery, however, maintained that the move is aimed at sustaining efficient operations while fulfilling its financial commitments, as discussions continue on measures to strengthen Nigeria’s downstream petroleum sector. Visit www.jocomms.com for more news.