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Dangote Refinery: Naira-For-Crude Deal Begins Tuesday — Tinubu Panel

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The Technical Sub-Committee on Domestic Sales of Crude Oil in Local Currency confirmed on Sunday that the supply of crude in naira by the Nigerian National Petroleum Company Limited to the Dangote Petroleum Refinery will begin on Tuesday, October 1, 2024.

On September 13, 2024, the committee announced that the Federal Executive Council, under the leadership of President Bola Tinubu, approved the sale of crude to local refineries in naira and the corresponding purchase of petroleum products in naira.

“From October 1, NNPC will commence the supply of about 385kbpd (385,000 barrels per day) of crude oil to the Dangote refinery to be paid for in naira,” the committee declared.

The Chairman of the Technical Sub-Committee is Zacch Adedeji, who also serves as Chairman of the Federal Inland Revenue Service.

When contacted on Sunday and asked if the plan for the crude oil supply to the $20bn Lekki-based plant is still intact, the Special Adviser on Media to the FIRS Chairman, Mr. Dare Adekanmbi, confirmed it is.

He stated, “I can confirm to you that the Chairman, Sub-Technical Committee, Zacch Adedeji, is working day and night to ensure that things go according to plans. He knows how important it is to have the agreement implemented as has been planned for the benefit of Nigerians.”

This indicates that NNPC will supply approximately 11.5 million barrels of crude oil to the Dangote refinery monthly, and under the deal, the plant will release equivalent volumes of refined diesel and petrol to the domestic market, also in naira.

The panel explained in September that this initiative would help reduce pressure on the naira, eliminate unnecessary transaction costs, and improve the availability of petroleum products across the country.

“Since then, the implementation committee chaired by the Minister of Finance and we, the technical committee, have worked intensely with NNPC and Dangote refinery to fashion out the details of the modalities for the implementation of the FEC approval,” Adedeji stated.

While stating that crude would be sold to Dangote in naira from October 1, the committee chairman and FIRS boss said, “In return, the Dangote refinery will supply PMS (petrol) and diesel of equivalent value to the domestic market to be paid in naira.

“Diesel will be sold in naira by the Dangote refinery to any interested off-taker. PMS will only be sold to NNPC. NNPC will then sell to various marketers for now. All associated regulatory costs (NPA, NIMASA, etc.) will also be paid in naira. We are also setting up a one-stop shop that will coordinate service provision from all regulatory agencies, security agencies, and other stakeholders to ensure a smooth implementation of this initiative.”

Adedeji explained that the technical committee that developed the initiative will transition to an implementation execution and monitoring committee working out of Lagos for the next three to six months.

The committee, which includes the Permanent Secretary of the Federal Ministry of Finance, Mrs. Lydia Jafiya; the FIRS boss, as well as representatives from NNPC, Central Bank of Nigeria, AfreximBank, and the Nigerian Upstream Petroleum Regulatory Commission, was established to craft a robust template ensuring the successful implementation of the initiative.

Meanwhile, modular refineries have called on the government to create modalities for the supply of crude to their plants as well.

About 24 hours before the commencement deal, the modular refiners informed one of our correspondents that they were not involved in the negotiations.

The Publicity Secretary of the Crude Oil Refinery-owners Association of Nigeria, Eche Idoko, said, “The committee is only discussing with Dangote at the moment.”

According to Idoko, the committee, during its inaugural meeting, stated that it would initiate the naira sale of crude with refineries producing petrol, noting that currently only the Dangote refinery is producing the commodity.

He mentioned that the association advocated for the committee to extend the sale to other refineries to avoid discrimination, “but they haven’t given us any feedback.”

Idoko stated, “Perhaps, during the October date, they will disclose more in terms of the modus they want to adopt. But at the moment, we have not received any clear communications as to how the naira sale will be administered other than the fact that they said they will start with PMS-producing refineries.”

The CORAN spokesman revealed that many modular refineries are facing significant crude challenges, hindering their fuel production.

He noted that some refineries with a capacity of 10,000 currently produce slightly above 3,000 barrels per day due to the unavailability of crude oil.

“A 6,000-capacity refinery now produces 1,000 barrels, but productions are inconsistent due to erratic crude supply,” he stated.

He added, “Our modular refineries are facing a serious crude crisis. Nothing has changed for modular refineries. There are talks with the government, but there hasn’t been any definite arrangement for supplies.”

Nigerians are hopeful that the naira crude sale scheduled to start on October 1 will lower the price of petrol.

Since it began selling petroleum on September 15, the Dangote refinery has not disclosed the price of the product.

The company denied selling at N898 per litre to the NNPC, asserting that the claim by the NNPC was misleading and mischievous, deliberately aimed at undermining the milestone achievement recorded.

The Dangote refinery urged Nigerians to await a formal announcement from the presidential committee.

“We urge Nigerians to disregard this malicious statement and await a formal announcement on the pricing by the Technical Sub-Committee on Naira-based crude sales to local refineries, appointed by President Bola Tinubu, which will commence on October 1, 2024, bearing in mind that our current stock of crude was procured in dollars,” the Dangote Group stated.

However, the Federal Government has said it would not interfere in the price controversy between the NNPC and Dangote, asserting that the petroleum sector had been deregulated.

BIG STORY

Muhammed Babangida Accepts BOA Chairmanship, Thanks President Tinubu

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Muhammed Babangida has officially accepted his appointment as Chairman of the Bank of Agriculture (BOA), expressing deep gratitude to President Bola Ahmed Tinubu for the trust reposed in him.

In a press statement released Monday, Babangida dismissed as false and malicious the reports circulating online suggesting he had rejected the appointment. He described such claims as a deliberate attempt to mislead the public and tarnish the image of the Tinubu administration.

“We wish to clarify that Muhammed gratefully accepts the appointment as Chairman of the Bank of Agriculture, as announced by the federal government, and extends his sincere appreciation to President Tinubu for the trust and confidence bestowed upon him,” the statement read in part.

It further assured the public that those behind the fake reports would be identified and held accountable.

“We also want to assure the public that those spreading these falsehoods will be thoroughly investigated and brought to justice. We remain committed to transparency, accountability, and fostering unity within our nation,” it added.

The statement concluded with a call for Nigerians to remain discerning and to verify information from credible sources.

Muhammed Babangida’s appointment was among several strategic appointments approved by President Tinubu to strengthen leadership across key government institutions.

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BIG STORY

TINUBUNOMICS: Nigerian Stocks Are Experiencing Their Best Run Under Any President Since 1999 — Report

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Nigerian stocks have seen an exceptional surge under President Bola Ahmed Tinubu, marking the strongest performance by the market during any civilian administration since 1999.

Based on Nairametrics analysis, the All-Share Index (ASI) has increased by 136% since Tinubu took office in May 2023.

From 55,769.28 points on May 29, 2023, the ASI has risen to approximately 131,000 points, setting a new benchmark in the history of the Nigerian capital market.

This represents the largest market growth recorded at a comparable point in any presidency since the country’s return to democracy.

For context:

During the Buhari presidency at this point in 2016, the market was up by 4.47%.

Under Goodluck Jonathan, the gain was 47% as of June 2013.

During the Yar’Adua tenure, the market had dropped by 49% during Nigeria’s most severe market crash.

The Obasanjo government had seen a 115% increase by July 2001.

Looking at market capitalization, the Nigerian Exchange (NGX) grew from around N30 trillion in May 2023 to beyond N75 trillion, adding N45 trillion in value.

Even though this growth may appear smaller when exchange rate depreciation is factored in, it still stands out against the backdrop of broader economic difficulties.

What’s driving the rally?

President Tinubu’s reform-oriented economic policies have significantly contributed to the stock market’s rise.

The government’s decisions such as removing fuel subsidies and unifying the foreign exchange rate have been critical in improving investor confidence and strengthening public finances.

Despite causing inflation and putting pressure on household incomes, these reforms have earned recognition from global financial bodies and investors for being market-friendly and essential for future growth.

Several additional factors have also boosted market performance:

The Central Bank’s bank recapitalization program has elevated bank stock values and drawn new capital into the exchange, with over N5 trillion expected to be raised by 2026.

Increased FAAC allocations after the subsidy removal have injected more liquidity into the economy.

Fewer opportunities for currency speculation have led investors to seek better yields from equities and other financial instruments.

The money supply has expanded significantly, helped by funds left over from previous administration’s Ways and Means borrowing.

High interest rates, currently at 27.5%, have also prompted more investment in stocks and bonds.

Many listed firms have posted profit increases, even as consumers face rising prices and reduced purchasing power.

Local investors in the driver’s seat
Nairametrics noted that local retail and institutional investors have been the main force behind the ongoing market rally, even though foreign investor participation has risen slightly in early 2025.

Between January and March 2025, local trades amounted to N1.418 trillion, making up 63.63% of the total N2.23 trillion market activity.

During the first two years of Tinubu’s presidency (May 2023 – May 2025), figures from NGX’s Domestic and Foreign Portfolio Report show that Nigerian investors accounted for N9.375 trillion of the N11.535 trillion total transactions, while foreign investors contributed N2.159 trillion.

This change shows growing trust among Nigerians in the stock market, especially with fewer investment alternatives available.

Sectors such as banking, agriculture, manufacturing, and oil and gas have seen significant gains, with numerous leading stocks reaching record highs.

For instance, banks added more than N7 trillion in value between 2023 and 2025, with GTCO alone rising by N2 trillion and Zenith Bank by N1.7 trillion.

In telecoms, MTN Nigeria’s market capitalization grew by over N3 trillion, while Airtel Africa gained about N1.8 trillion.

Recent listings and upcoming public offerings have also improved investor sentiment. Aradel Holdings, which joined the exchange last year, added over N2 trillion in value. Future listings like Dangote Fertilizer and a potential NNPC IPO could continue this momentum.

What next

By mid-July 2025, Nigerian equities had risen by 27.84% for the year, and analysts predict that the market could end the month with double-digit returns. If this positive trend continues throughout the year, Tinubu may be remembered as the president with the strongest stock market legacy.

However, many Nigerians still feel disconnected from the market’s gains, as they struggle with rising costs, limited job opportunities, and access to basic services.

Ultimately, public opinion may be shaped not by stock charts but by how well the average citizen fares economically.

That said, for analysts and investors, the performance data tells its own story. The Nigerian stock market is in an unprecedented bull run—and it is unfolding under the leadership of President Tinubu.

 

Credit: Nairametrics

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BIG STORY

Enjoy Your Adopted Home, Shehu Sani Knocks Badenoch

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A former Senator representing Kaduna Central, Shehu Sani, has criticised the leader of the United Kingdom’s Conservative Party, Kemi Badenoch, over her remarks concerning Nigerian citizenship laws.

While speaking in an interview with CNN’s Fareed Zakaria on Sunday, Badenoch claimed she is unable to transfer her Nigerian citizenship to her children due to her gender.

She pointed out that it is more straightforward for Nigerians to obtain British citizenship than it is for foreigners to become Nigerian citizens.

“It’s virtually impossible, for example, to get Nigerian citizenship. I have that citizenship by virtue of my parents, I can’t give it to my children because I’m a woman.

“Yet loads of Nigerians come to the UK and stay for a relatively free period of time, acquire British citizenship. We need to stop being naive,” she said.

In response through a post on his X handle on Monday, Sani criticised Badenoch for her concern about passing on Nigerian citizenship to her children.

The former senator urged Badenoch to embrace her new country and stop interfering with Nigerian affairs.

He wrote, “Why should Kemi Badenoch be bothered about getting a Nigerian citizenship for her offspring from a country she rebuked and rejected? She should just enjoy her adopted home and leave us alone in our father’s home.”

Olukemi Adegoke, now known as Kemi Badenoch, was born in the UK to Nigerian parents. She spent part of her early life in Lagos before moving back to the UK at the age of 16.

She later got married to Hamish Badenoch, a Scottish banker, and took his last name. They have three children together.

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