Dangote Refinery: Petrol Prices Unlikely To Drop – Experts - Politics (2)

Dangote Refinery: Petrol Prices Unlikely To Drop – Experts - Politics (2) - Nairaland

Nairaland Forum › Nairaland General › Politics › Dangote Refinery: Petrol Prices Unlikely To Drop – Experts (21554 Views)

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Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by AngelicBeing: 9:13pm On Sep 14, 2024

Realdeals:
We heard that the refinery gate price is #765/L

"Dangote Refinery will supply 25m liters daily at N765. while NNPCL will import the remaining 15 million liters. By end of October, Dangote supply will rise to 35m liters while NNPCL importation reduces to 5m."

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by oluwaseyi0: 9:14pm On Sep 14, 2024

We were once told fuel will be cheaper with in country refinery

What changed?

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by akosatech: 9:17pm On Sep 14, 2024

government

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Brushstrokes20: 9:22pm On Sep 14, 2024

Ain't surprised though...😐
# eBOLA has only come to STEAL, KILL AND DESTROY 💯💯💯
No more, no less!

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Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Yankee101: 9:23pm On Sep 14, 2024

If it won’t drop then allow imports

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by arantess: 9:39pm On Sep 14, 2024

checkmatez:
The amount of talkshows that aired back then saying the refinery will drop prices of fuel and make subsidy removal not to be felt was uncountable but we are where we are still..
Anyway I don't blame the media stations because the diesel uses in running thier business isn't free.
If propaganda and rumours will give them more views then why won't they air it...

No be small
Plenty cho cho cho on top private refinery in a country of 200million people with vast resources.
Those that knew were tagged bad belle and haters of nigeria.....at the end wetin dey cry still dey cry.

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Rossikk(m): 9:39pm On Sep 14, 2024

nairalanda1:
Anyone who thinks that fuel will drop just because we have domestic refining...should remember that transport cost, refining cost, taxes, and workers salaries are part of the price you pay for petrol

And government cannot afford subsidy, althrough they want to keep paying it...folly indeed.

But the thing is, there is no way dangote is going to pay maintenance costs, taxes, refining costs, upgrade cost, and workers salaries at international level on just N100 per liter.

Simple and straight.

You explained it far better than the so called 'expert' that couldn't explain himself in simple, straightforward English.

I had a headache trying to make sense of what the 'expert' was saying.

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Funkyswagzz(m): 9:40pm On Sep 14, 2024

I knew this would happen. If dangote is a patriot be should disclose how much he sell his fuel

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Rossikk(m): 9:42pm On Sep 14, 2024

Yankee101:
If it won’t drop then allow imports

That will lead to further reduction of naira value against the dollar.

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by chidiokay: 9:43pm On Sep 14, 2024

Realdeals:
We heard that the refinery gate price is #765/L

"Dangote Refinery will supply 25m liters daily at N765. while NNPCL will import the remaining 15 million liters. By end of October, Dangote supply will rise to 35m liters while NNPCL importation reduces to 5m."

The continously importation of fuel is why Nnpc cant let dangote price hit the market for them its bad for business,

But should Nnpc continue to import they retain the existing price while they sell Dangote fuel as same price, maximized profit .. the losers here are Nigerians cos Nnpc cant have two prices, we will buy dangote fuel at same price as imported

Dangote has the capacity to meet Nigeria's daily demand, until we put importation on hold dangote entry bears no effect on pricing

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by surgical: 9:44pm On Sep 14, 2024

Umueme:
Lol

I remember when we were explicitly saying that prior to Dangote petrol hitting the market, the price will rise exorbitantly, his product will come and slash maybe 100 naira or so off the price and we'll end up buying it higher than normal, and they said we were crazy and conspiracy theorists.

APC goons will all die agonizing deaths for deliberate ignorance.

#MyOpinion

my brother of truth Nigeria can never be better or offer Nigerians anything of value like you have abroad except we remove this cancer call apc ,anywhere you find them either at the state or local level, in apc you will find the worst of Nigerians
Nigerians should just leave sentiments and look for fresh breath of life, by getting anything apc out of their lives

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Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by arantess: 9:44pm On Sep 14, 2024

Flangelo12:
Werey.

Cost of freighting and customs duties should surely impact the cost of sale.

Expert in what sef?

What is this one saying?
Import duties for local goods grin

1 Like

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by 3kay945(m): 9:45pm On Sep 14, 2024

I pity the poor man

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Bluntemperor: 9:48pm On Sep 14, 2024*

Open Letter To Alhaji Dangote:
I write ✍️ to first thank you for your Success in bringing the Refinery,you started to fruition.Kudos Sir.
The battle is just beginning,as you become envious to both Individuals and govt alike,who only wish that you never succeeded but here we are,a beautiful you on what others could not do,you are successful.
Part of the battle is Pricing.
As Nigeria is awaiting your Refinery Arrival, please,they are looking at you on what others could not do since decades,now that you have succeeded,my Appeal is that let your price comes Low- so that will be a Welcome and a Big Relief to Nigerians and will equally makes your Refinery be Acceptable to the Whole Africa Continent, instead of doing to Europe or any Other Parts of the World.
Now that Nigerians don't need to be paying for- Shipping Costs,Insurance,etc,Nigerians should proud of you in all ramifications - for we all know how those in authority uses FOREX, and Import- Documentations for their advantages,but all that should Stop Now.
Please, don't listen to those who Contributed nothing,but are waiting for you( Dangote) to fall to their bait 🪤.
God bless you Sir.

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by youngsahito(m): 9:48pm On Sep 14, 2024

Why is the price of PMS so cheap in Arab countries cos una go just dey blow grammar for us?

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by adams123: 9:50pm On Sep 14, 2024

dre11:
https://www.premiumtimesng.com/news/top-news/734395-dangote-refinery-petrol-prices-unlikely-to-drop-experts.html

They have hired all these fake analysts to deceive us again??
None of them is talking of the cost of taking it out for refining and bringing it back again??

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by surgical: 9:53pm On Sep 14, 2024

Rossikk:
Simple and straight.

You explained it far better than the so called 'expert' that couldn't explain himself in simple, straightforward English.

I had a headache trying to make sense of what the 'expert' was saying.

He didn't explain anything, he is not seized of the fact
There is what is called comparative advantage, Nigeria should not be paying the same price like countries who do not have fuel
Besides nnpc is supplying from 450k barrels meant for internal consumption
Is cost of cost of production , has no addition of shipping, insurance, demurrage,customs tax that nnpc importation will carry so his fuel should never be equal to imported ones
But from his cement experience dangote can never ever give Nigerians respite,it's not in his character
If anybody comes and wants to do better ,he fights him
Ask bua

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Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by nwirinedu(m): 9:56pm On Sep 14, 2024

Just like his cement

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Flangelo12: 9:57pm On Sep 14, 2024

arantess:
What is this one saying?
Import duties for local goods

You no get sense.

I'm saying because we no longer have to pay dumbo.

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Originalsly: 10:11pm On Sep 14, 2024

I believe even if Dangote is supplied with local crude .... at a very low price ... PMS will drop a little only. The way we are .... if he sells it cheap .... we will find ways to smuggle it out if the country and there will be a shortage at the pumps ... causing the price to rise. We've already seen fuel not reaching the stations because we are corrupt and greedy....always finding a way to sabotage what will benefit the masses.

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Sirianese: 10:11pm On Sep 14, 2024

dre11:
https://www.premiumtimesng.com/news/top-news/734395-dangote-refinery-petrol-prices-unlikely-to-drop-experts.html

It can never drop

The subsidy cabal will simply transfer their scam to the procurement process between NNPCL and Dangote...that's why they've made NNPCL the sole offtaker, so that no one else can know the financial details

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by alt3r3g0: 10:14pm On Sep 14, 2024*

Flangelo12:
Werey.

Cost of freighting and customs duties should surely impact the cost of sale.

Expert in what sef?

Exactly!

Sometimes, I wonder if these "experts" are really this ignorant or they are just shamelessly reading a script.

You see some defending OVH monopoly of the petrol claiming it's because they sell crude in naira, import duty since refinery is located in trade free zone etc Ignoring the fact that diesel is handled differently.

OVH must protect their Malta plant and that is all this noise is all about.

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Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Franking: 10:15pm On Sep 14, 2024

These people are not being honest with us. Tinumbu floated the naira which has been on a free fall for some time now...this time fuel is not going to be imported so why will there not be significant price reduction?

I mean with there's no dollar involved anywhere as crude will be sold to Dangote in naira.... someone please explain.

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Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by EXPRESSSMAN(m): 10:20pm On Sep 14, 2024

These experts did not capture freight, insurance, import levies and other levies associated with importation.
By the time you remove them, the price should reduce reasonably.
The only thing is with this NNPC control now, it is still going to be business as usual. No one will know the actual price and the consumption level.

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Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Halo22: 10:21pm On Sep 14, 2024

We have a lot of Economics analyst, who end up being theoretical rather than practical. It's being expected that Petrol pump price would reduce, not instantly, but as time progresses and some people are here speaking needless grammar. This is the reason we have several Professors of Economics, who don't contribute to Economic improvement.

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Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by profmallor: 10:23pm On Sep 14, 2024

You are correct the price should not drop, but you will be shocked that it will - why?.. because government is going to subsidize it through the backdoor. You see, because the inward transactions will be done in naira, government would be more willing to pay for subsidy in naira than in $$$. The reason NNPC would be the sole buyer of Dangotes oil, we would never know how much NNPC buys from Dangote, thats going to eb a well-kept secret. FG just cannot allow the free-market forces to control the price of energy, no Government does if they have control over it. if they do, you wont even buy it at N1500 per liter.

MEEVEET:
Majority of Nigerians are really ignorant little wonder why we produce the type of leaders we produce

Dangote refinery buys crude at international price, and you expect him to sale below international price for you because?

Average price of petrol is around 0.8 to 1.1 dollars internationally

Say 0.8 dollars thsts ₦1300 minimum

Nnpc would buy from him at 1300 and sale to you at ₦750... Paying a subsidy of ₦500 per litre while u buy at ₦850 to ₦8950

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by merry101: 10:35pm On Sep 14, 2024

Before them dey shout landing is over a thousand. Say na him make fuel cost.

Now no landing cost, them say e till no go drop Price.

You guys think we are gullible?

Educated greedy people

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Rossikk(m): 10:37pm On Sep 14, 2024

oluwaseyi0:
We were once told fuel will be cheaper with in country refinery

What changed?

WHO TOLD YOU THAT?

NAME ONE PERSON THAT TOLD YOU THAT.

Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by letitrainnow(m): 10:40pm On Sep 14, 2024

Speaking to reporters, the President of Dangote Group, Aliko Dangote, said the petrol refined from the refinery would hit filling stations across the country within 48 hours, depending on the NNPC Ltd.

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Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Baxilexi(m): 10:41pm On Sep 14, 2024

The factors that would determine how cheap the cost of pms would be is within the purvey of the government.

1, crude oil is our common patrimony and commodity, we get it through JVCs and now more than ever we need it for local consumption, so it should not be lost on a sensitive government to lessen the price at which it sells crude to Dangote, ensuring his produce is sold only to NNPC who can then export the surplus for additional income.

2, taxes - at this point Dangote should get a tax break to recover some of his investments and protect us the citizenry from transferred costs.

3, cost of production; a barrel of crude oil contains 159 liters, international rate for refining is between $3-5 per barrel. Hence the cost to refine a liter of crude is $0.0314 * 1600 = NGN 50.

Dangote’s and NNPC can reach a concession 50 box for your troubles, and a few cheap liters for your international business as a patriot.

With NNPC now in possession of crude that cost N50 a liter to refine, marking up for their logistics and other expenses, petrol should sell at less than N500 within Nigeria.

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Re: Dangote Refinery: Petrol Prices Unlikely To Drop – Experts by Rossikk(m): 10:42pm On Sep 14, 2024

surgical:
He didn't explain anything, he is not seized of the fact
There is what is called comparative advantage, Nigeria should not be paying the same price like countries who do not have fuel

YOU ARE WRONG.

That idea can only work if Nigeria was a country of 5 million people like UAE.

Nigeria's oil reserves are low compared to the gulf states, and she produces 1.9 million barrels a day, compared to say Saudi which produces 12 million barrels a day, or the USA, 14 million barrels a day. Or Canada, with 4.5 million barrels a fay.

So a population of 250 million being sold the tiny amount of fuel we produce at below market, cheaper prices is unfeasible, untenable, and unsustainable.

You people need to understand that Nigeria is not an OIL RICH country.

We just have a little bit of oil. That's it.

Canada produces nearly 3 times more oil than Nigeria.

Do you see them shouting ''we have oil so it should be very cheap and free''?

NO.

Most people don't even know Canada has oil.

It's just one small sector of their economy.

You with you small oil, you think everybody in Nigeria should be a millionaire, if not for the leaders stealing ''all the huge oil money''.

Which oil money?

DIVERSIFY AWAY FROM OIL AND STOP EXPECTING CHEAP OR FREE OIL.

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