In a recent press statement, Group Chief Branding and Communications Officer Anthony Chiejina remarked, “An international trading company has recently secured a depot facility adjacent to the Dangote Refinery, intending to blend inferior products that will be introduced into the market to rival the superior quality of Dangote Refinery’s output.
“This situation poses a threat to the advancement of domestic refining in Nigeria. It is important to recognize that many countries take measures to safeguard their local industries to foster job creation and economic growth. For instance, the United States and European nations have implemented significant tariffs on electric vehicles and microchips to shield their domestic markets.”
In response, Pinnacle Oil and Gas Limited, situated near the Dangote refinery, asserted that it does not participate in the blending of substandard petroleum products.
Bob Dickerman, the company’s Chief Executive Officer, stated, “Deregulated commodity markets function optimally when there is an open system with numerous sellers and buyers competing to determine market prices.
For Nigeria to have diverse supply options, including local refineries and imports, is essential for establishing the lowest sustainable prices. A free market must also be regulated to ensure that all products comply with national standards and that all participants act responsibly.
“On November 3, 2024, the Dangote Organization released a statement alleging that ‘…an international trading company has recently secured a depot facility next to the Dangote Refinery, to use it to blend substandard products that will be dumped into the market to compete with Dangote Refinery’s higher quality products.’
“Pinnacle Oil & Gas has the only depot facility next to the Dangote Refinery. Without equivocation, we state that Pinnacle Oil & Gas would never engage or attempt to import or distribute any off-spec or substandard product into the Nigerian market. Our company has a reputation for integrity and regulatory compliance which is extremely important to us.”