The huge allocation of crude oil by the Nigerian National Petroleum Company Limited to its foreign creditors is a big challenge to the supply of the commodity to domestic refiners including the Dangote Petroleum Refinery.
Insiders familiar with the development said the national oil firm had allocated large volumes of crude to its foreign creditors to settle the loans acquired by the firm, making it difficult to sustain the naira-for-crude deal between NNPCL and Dangote refinery.
However, multiple sources from the Federal Ministry of Finance and the Federal Ministry of Petroleum Resources confirmed on Thursday that the Technical Sub-Committee on the Naira-for-Crude Policy should reconvene on Monday to deliberate on the matter.
It was gathered that the committee had mandated the Nigerian Upstream Petroleum Regulatory Commission to come up with options that would be reviewed by the panel as it struggles to return the naira-for-crude deal.
This came as oil marketers declared on Thursday that they would seek alternatives following the suspension of the sale of petroleum products in naira by the Dangote refinery.
