The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has denied insinuations by the management of the Dangote Petroleum Refinery that it has not properly enforced the domestic crude supply obligation (DCSO).
In a statement in Abuja on Friday, the NUPRC said it facilitated the supply of 29 million barrels of crude oil to the Dangote refinery between January and June.
On Thursday, the Dangote refinery said NUPRC has been reluctant to enforce the domestic crude supply obligation and ensure that it receives its full crude requirement from Nigerian National Petroleum Company (NNPC) Limited and international oil companies (IOCs).
However, NUPRC said as part of its commitment to enforce section 109 of the Petroleum Industry Act, 2021, which provides the domestic supply of crude to local refineries on a ‘willing buyer, willing seller’ basis, it ensured that nine refineries were supplied crude despite low oil production.
The NUPRC said despite its efforts to enforce the crude oil obligations through the development of the DCSO framework, the Dangote refinery was still accusing it of weak enforcement.
The commission said it has facilitated over 32 million barrels of crude oil supply to domestic refineries in the country.
“The NUPRC took an additional step to ensure that crude producers furnish the commission with copies of all crude oil sales and purchase agreements entered or any security interest entered, that is tied to crude oil production,” the commission said.