By Our Correspondent
The host communities of Nigeria’s Producing Oil and Gas (HOSTCOM) has thumps down actions of the Nigerian National Petroleum Corporation (NNPC) and the International Oil Companies (IOC) for their failure to sell an supply crude oil to Dangote Refinery and other local refineries.
The group, comprising all the states producing oil and gas in Nigeria, lamented that despite the billions of dollars spent on turnaround maintenance of Nigeria’s refineries, Nigeria still remain reliant on importing refined products.
This persistent issue, the group argues, highlights the widespread corruption within Nigeria’s oil and gas industry, allegedly orchestrated by influential cabals who are intent to maintaining the status-quo of exporting crude oil while importing refined petroleum products.
The National President of HOSTCOM, Dr. Benjamin Tamaramiebi, accompanied by his executive members and traditional rulers from the Niger Delta region, stated this fter touring the Dangote Petroleum Refinery and Petrochemicals, and the Dangote Fertiliser Limited in Lagos.
Tamaramiebi said: ” Our visit today to the largest and magnificient 650,000 bpd private refinery in Africa (Dangote Refinery) has opened our eyes to several ills, particularly the monumental corruption going on in the Nigeria oil and gas industry.
”It is obvious why the existing Federal Government Refinery in Port Harcourt, Warri and Kaduna can never work or operate maximally despite the billions of dollars spent on the so called Turn Around Maintenance over the years.”
Tamaramiebi emphasized on the need for Nigeria to refine its crude locally while he called on the Federal Government to back the Dangote Refinery and other domestic refineries to end Nigeria’s persistent reliance on imported petrol, diesel and other refined products.
The group praised the President of Dangote Industries Limited, Aliko Dangote, for his patriotism in investing in and constructing the refinery in Nigeria. It noted that this endeavour has significantly contributed to the nation’s economic growth and development.
HOSTCOM emphasised that Dangote Refinery is crucial in providing local solutions to Nigeria’s refining needs, thereby reducing Nigeria’s dependency on imported refined petroleum products.
The group urged President Bola Tinubu’s government to suppot the project, highlighting that doing this will enhance the economy, crete thousands of jobs, ensure the sustainability and affordability of petroleum products, and bring substantial benefits to the host communities, among other positive effects.
”We called on President Bola Tinubu to support and sustain this refinery which is in his own state. He must do away with the cabals holding the oil sector to ransom.
”We call on Mr. President to direct NNPC or NNPCL to compel the IOCs operating in our communities to sell and supply crude oil to Daanagote Refinery and other local refineries in line with Section 109 of the Petroleum Industry Act PIA 2021 prticulrly section 109 (4) (b) which states that ”the supply of crude oil shall be commercially negotiated between the lessee and the crude oil refining licensee, having regard to the prevailing international market price fror similar grades of crude oil,” the group added.
The Vice President (Oil and Gas) at Dangote Industries Limited , Devakumar Edwin, who hosted the delegates, explained that the Dangote Refinery was established primarily to source and refine local crudes for the benefit of Nigeria, while also exporting excess production to boost the economy.
Edwin noted that lack of sufficient Nigerian crude supplies has necessitated importing crude from other countries and continents.
He said if Dangote Refinery has not been designed to process a whole range of crudes, including various African and Middle Eastern crudes as well as US Light Tight Oil, it would have become inactive due to the lack of Nigerian crude supplies.
