One of Nigeria’s largest integrated downstream oil and gas companies, Ardova Plc, has agreed to a bulk purchase agreement with Dangote Refinery to provide supply security at competitive pricing for its clients.
Grant Onome, Head of Brands and Corporate Communications at Ardova Plc, made this revelation in a statement on Monday.
The announcement claims that as a result of the partnership, Ardova Plc would be able to purchase the refinery’s entire range of petroleum products.
Although Ardova Plc has been a major off-taker from the refinery since its founding. Onome stated that the new framework will formalise a stronger partnership between the two businesses to further improve the country’s developing competitive environment in the downstream oil and gas sector.
“This framework is in line with President Tinubu’s drive for competition and improved efficiency in the industry, and Ardova Plc will deliver products at competitive prices nationwide,” the statement read in part.
The development comes following the recent commencement of crude oil refining by Dangote Refinery, Port Harcourt Refinery, and Warri Refinery.
Dangote Refinery recently partnered with MRS to sell Premium Motor Spirit or petrol at ₦935 per litre nationwide at its retail outlets.
The development came after the Nigerian National Petroleum Company Limited slashed prices below ₦1,000 per litre.
Speaking on the agreement, Aliko Dangote stated, “Dangote recently lowered the price of Premium Motor Spirit (PMS) at its Refinery loading gantry from N970 to N899.50 and offered generous credit terms to marketers to support Nigerians.”
“We have partnered with MRS to sell petrol from its retail outlets nationwide at N935 per litre to ensure that this price reduction reaches the end consumer,” the statement continued.
Dangote urged all other oil marketers, including NNPC Retail, “to work with us to ensure that Nigerians enjoy high-quality petrol at discounted prices” in the statement.
“The Dangote Refinery is for the benefit of Nigeria and Nigerians,” he asserted.
“As a result, we will keep collaborating with different value chain participants to provide premium petrol at reduced costs. Our goal is for every Nigerian to have easy access to premium petroleum products that are affordable, healthy, and beneficial for their cars.”
