FG Wants Modular Refineries To Pay Naira For Crude.

Federal Government has eventually complied with the demands of domestic crude oil refiners and other operators in the sector, as it declared that indigenous refineries can now buy crude oil in naira or dollars.

It also said, the total crude oil and condensate reserves in Nigeria increased to 37.5 billion barrels as of January 1, 2024, with a life index of 68.01 years.

The government disclosed this through the Nigerian Upstream Petroleum Regulatory Commission in Abuja, where it unveiled the new template for domestic crude oil supply obligation.

It also said, in compliance with the provisions of Section 109(2) of the Petroleum Industry Act 2021, the Nigerian Upstream Petroleum Regulatory Commission in a landmark move, had developed a template guiding the activities for Domestic Crude Oil Supply Obligation.

Responding to a question on the currency of transaction for crude oil purchase, as approved in the new template, Komolafe said, it would be either in naira or dollar, adding that naira transactions would free the pressure on the country’s foreign exchange rate, while, the NUPRC boss also said, the template had become effective because all necessary parties had signed up for it.