Biodun556:


Tank farms owners can now use their land for something more profitable

cenaman:
maybe vegetable farm

Ance4Liverpool:
Abeg what is tank farming

Biodun556:


Marketers store imported oil in tank farms before distributing it nation wide with trucks

SalamRushdie:
You made typo...shut not shot

Biodun556:
https://www.arise.tv/marketers-await-commercial-terms-for-lifting-products-from-650000bpd-dangote-refinery/?fbclid=IwAR0qoHOtYxKSyA2iRi6NLn_r5cKhyDmtLNMp0Ve95bO8oCEbgYLiduT8oOQ

However, with Dangote now set to start supplying products directly to every marketer through their trucks and vessels, the 11Plc boss contended that marketers whose only business is tank farm operation would soon shut down due to lack of patronage.
“But now that the product is made locally, there may be no need for keeping all that storage because if you don’t have the product from the refinery this week, you can get it next week.
“So, why go and pay N5 extra to the tank farm owner? If you just order from Dangote and you get your order this week or next week. You don’t need to pay any extra fee for storage. You will just go there with your 50 trucks and lift your product.
‘So, it’s going to change the dynamics in the industry a lot”, Oyebanji added.
On his projection for the downstream sector for this year, the ex-MOMAN chairman said the Dangote Refinery would be a game changer.
Continuing, he said the aviation fuel being produced by the refinery must be produced consistently and in sufficient quantity, saying when that happens, it would significantly affect the market this year in terms of product availability, pricing and requirement for large storage facilities.
Oyebanji noted that the artificial pricing arrangement which marketers have with NNPC may change and become more reflective of the dictates of the market.
“Since the product is now available locally and everybody can get it, then obviously, the competition may be tougher than what it used to be. But a lot of things depend on if the refineries work consistently and with good quality and the right quantity that can meet the demand, then that will bring about a lot of changes in the market”, he added.
Also speaking on the long-awaited commercial terms, the Executive Secretary of the Major Oil Marketers Association of Nigeria (MOMAN), Mr. Clement Isong, said the discussions were still ongoing, stressing that the current discussions were around logistics and administration.
He corroborated Oyebanji’s position that they “haven’t arrived at commercial terms yet. We are still in the process of talking about logistics and administrative things like registration. It is only when they have the products that we can begin discussion on commercial terms.”
He also said that the refinery would impact tankage and tank farms as it comes with its own storage and loading arms, positing that many of the storage tanks in the country may become redundant as optimisation and efficiencies set in.
According to him, “only those people who own 100; 200; 500 filling stations will be able to keep their own storage so that they can control their own supply lines to their stations. But those other people can pick their products directly from the refinery, they do not need additional cost of secondary storage.”
On his part, the immediate-past National President of the Independent Petroleum Marketers Association of Nigeria (IPMAN), Mr. Chinedu Okoronkwo, said one of the things that was yet to be made public by Dangote Refinery was the mode of offtaking the products.

Biodun556:
There are many abnormal jobs in Nigeria that would disappear as things get better

olisaEze:
No need to cry more than the bereaved, tank farm owners are all major marketers with filling stations sprawled across the nation, so they're gud. Just supply the first truck let the pump price fall.

Babangidapikin:
I don't think that is a wise decision ... Alhaji should allow Tank Farm Owners to breath... You know everyone can't be coming to Lekki or the Firms listed .. let those that want to collect by cargo collect ... Moreover they are other Tank farms in other states and you shouldn't deny them access ....

Biodun556:


Read the news first

The oil marketers said they don't need to pay for storage anymore not dangote

Babangidapikin:

I know because they can go direct ...but that would cause traffic ... while not disperse it so they can get it in different locations ....those who have spend money automating their Tank Farms .. do you want to put them in gbese ni .... consider the trickle down effect on their staffs ...Moreover places where cargoes can be shipped should be able to get their product delivered to them .. so they don't keep spoiling our roads ... and if possible sef they can use the rail track to deliver to the north ....

sunboy:


Una don come abi ? Which one is will cause traffic, tank or no tank won’t there be traffic before ? Mchew

Babangidapikin:

Tomorrow now na you na go dey shout monopoly up and down ...as if driving from other locations to the refinery won't have cost implications ...the 5 Naira you don't want to pay , would be pay on the road ...

sunboy:


Wetin concern me with your 5 naira.

It is your hysteria about traffic that I find ridiculous.

Will you be building infrastructure for pipelines to connect to farms within Lagos ? SMH

Ance4Liverpool:
Abeg what is tank farming

Nicepoker:
A farm where tanks are grown.

Biodun556:
There are many abnormal jobs in Nigeria that would disappear as things get better

Babangidapikin:
I don't think that is a wise decision ... Alhaji should allow Tank Farm Owners to breath... You know everyone can't be coming to Lekki or the Firms listed .. let those that want to collect by cargo collect ... Moreover they are other Tank farms in other states and you shouldn't deny them access ....