The Nigerian National Petroleum Company Limited (NNPC Ltd) has issued a clarification regarding reports about the crude oil sales agreement with Dangote Refinery.

In a statement released Monday evening, NNPC's chief corporate communications officer, Olufemi Soneye, explained that the Naira-denominated crude oil contract was originally structured as a six-month agreement that will expire at the end of March 2025. Soneye confirmed that discussions are currently in progress to establish a new contract.

According to the statement, NNPC Ltd has supplied over 48 million barrels of crude oil to Dangote Refinery since October 2024 under the current agreement. In total, the refinery has received more than 84 million barrels from NNPC since beginning operations in 2023.

"NNPC Limited remains committed to supplying crude oil for local refining based on mutually agreed terms and conditions," Soneye stated.

The clarification follows a July directive from the Federal Executive Council (FEC), led by President Bola Tinubu, instructing NNPC Ltd to engage with Dangote Refinery and other local refineries to resolve disputes over crude oil supply. The FEC mandated that crude oil be sold to Nigerian-based refineries in Naira, with an expectation that refined products would likewise be sold domestically in the local currency.

The federal government officially started implementation of Naira-based sales of crude oil and refined petroleum products in October.​​​​​​​​​​​​​​​​