FG: Sale Of Petroleum Product Slumps

FG: Sale Of Petroleum Product Slumps

Sale of petroleum products by the Pipeline and Products Marketing Company (PPMC) decreased from the N198.94 billion realised in the month of February to N184.

02 billion in May, 2018.

Total revenues generated from the sales of white products for the period March 2017 to March 2018 stands at ₦2.129 trillion, where Premium Motor Spirit (PMS) contributed about 86.94 per cent of the total sales with a value of ₦1.851 trillion.

The Nigerian National Petroleum Corporation (NNPC), which made this disclosure in its recent monthly financial report, disclosed that a total of 1.43 billion litres of white products were distributed and sold by PPMC in the month of March 2018 compared with 1.52 billion litres in the month of February 2018.

This, it said, comprised of 1.30 billion litres of PMS, 38.02 million litres of Kerosene and 88.59million litres of Diesel.

“Total sale of white products for the period March 2017 to March 2018 stood at 17.21 billion litres, PMS amounted to 15.30 billion litres or 88.93 per cent”, it added.

In March 2018, 2,383.46 million litres of PMS was supplied into the country through the DSDP arrangements as against the 1,791.62million litres of PMS and 27.21million litres of DPK supplied in the month of February 2018.

According to the corporation, the petroleum products (PMS & Dual Purpose Kerosene only) production by the domestic refineries in March 2018 amounted to 153.37 million litres compared to 136.61 million litres in February 2018.

Total Crude processed by domestic Refineries (Warri Refining and Petrochemical Company (WRPC) only) for the month of March 2018 was 271,215 MT while Port Harcourt Refining Company (PHRC) and Kaduna Refining and Petrochemical Company Limited (KRPC) only processed intermediate 7,675MT and 12,675MT respectively.

This, it noted, translates to a combined yield efficiency of 83.64 per cent as against the 81.68 per cent in February 2018.

For the month of March 2018, the three refineries produced 159,424 MT of finished Petroleum Products and 67,428 MT of intermediate products out of the 271,215 MT of Crude processed at a combined capacity utilization of 14.41 per cent compared to 13.94 per cent combined capacity utilization achieved in the month of February 2018.

NNPC attributed the increase in operational performance to attributable to the revamping of the refineries especially WRPC despite the downturn in PHRC and KRPC during the month.

NNPC said that the ongoing revamping of the refineries will enhance capacity utilization once completed.

It stated: “The Corporation has been adopting a Merchant Plant Refineries Business Model since January 2017.

The model takes cognizance of the Products Worth and Crude Costs.

The combined value of output by the three refineries (at import parity price) for the month of March 2018 amounted to ₦42.39 billion while the associated Crude plus freight costs and operational expenses were ₦44.83 billion and ₦9.45 billion respectively.

This resulted to an operating deficit of ₦11.89billion by the refineries. Also, during the period under review, refineries combined capacity utilization was 14.41 per cent.”

NNPC Group Managing Director, Dr. Maikanti Baru, said the corporation is ever ready to support the Petroleum Tanker Drivers (PTD) and the Nigeria Union of Petroleum and Natural Gas Workers (NUPENG) in whatever way to enhance the distribution of petroleum products across the country.

He listed other palliative road rehabilitation intervention to the union by NNPC to include: Mokwa-Jebba Road and Iwuru 1 and Iwuru 2 portion of Ekpet-Ugep Road in Calabar, Cross River State.

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