N201bn may spent by NNPC to clean 170.25m litres of substandard fuel
Home » N201bn may be spent by NNPC to clean 170.25m litres of substandard fuel

N201bn may be spent by NNPC to clean 170.25m litres of substandard fuel

by Ayogen
0 comment

An analysis of the petroleum industry data has revealed that the Nigerian National Petroleum Company Limited (NNPC) may need N201bn worth of clean Premium Motor Spirit (petrol) to bring 170.25 million litres of adulterated product imported into the country up to standard.

Punch reported that the Nigerian Midstream and Downstream Petroleum Regulatory Authority said on Tuesday, February 8, that for every 200 litres of the adulterated product, 800 litres of petrol with good quality would be required for the blending that would be done.

Chief Executive Officer, NMDPRA, Mr Farouk Ahmed had also said during a visit to some depots in Lagos on Wednesday, February 9;

READ ALSO:- Tricyclist and Motorist seen Exchanging Blows Amid Fuel Scarcity In Abuja (Photos)

“All the off-spec material (product) will re-blended to very good quality, and it will be certified and recertified before it goes into the market. The component that was in excess was methanol; what we agreed was that for every 200 litres of the affected volume, we need about 800 litres to blend.”

With NMDPRA’s parameter for the re-blending of the adulterated petrol, the two cargoes, containing a total of 170.25 million adulterated petrol, would require 681 million litres of clean product worth N201bn (based on a landing cost of N295 per litre).

The N201bn is a conservative estimate, as other costs would be associated with the re-blending.

You may also like

Leave a Comment

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More