According to a statement by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), a new template guiding the activities for domestic crude oil supply obligation was developed in compliance with the provisions of Section 109(2) of the Petroleum Industry Act 2021.
The chairman of the Crude Oil Refinery-owners Association of Nigeria (CORAN) Momoh Jimah Oyarekhua, during a meeting with the Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri last year, had complained that the modular refineries were starved of crude and even when the crude was available, the local refineries would not afford the payment since it was in US dollars.
While fielding questions from journalists, the Chief Executive, NUPRC, Gbenga Komolafe, said it was necessary to develop the new pricing method as naira transactions for crude oil purchases would free the pressure on the country’s foreign exchange rate.
