The Federal Government has granted Dangote Refinery to be the sole supplier of Jet A1 fuel to Nigerian airlines.
According to the Aviation minister, Festus Keyamo who disclosed this on Channels TV, airline operators agreed to this with his approval and cooperation.
Keyamo explained that the naira-for-crude agreement with Dangote will ease foreign currency strain and provide cheaper Jet A1 fuel.
Keyamo said: “The airline operators just met recently. With my blessing, it’s a decision from the airline operators in Nigeria that they should only buy from Dangote refinery Jet A1. You can see that yesterday we started a naira-for-crude purchase with Dangote. It’s all Naira, no Dollar component.”
He added: “The price will no longer be subjected to the varying factors of the international market, nor the headwinds of oil price in the international market. It will be in local currency so we can be clear as to the cost of it. We will buy in naira. I’m sure we are going to have access to cheaper Jet A1 fuel.”
This development comes after Dangote Refinery began producing jet fuel and diesel in April 2024, with diesel already hitting the local market.
The refinery has also exported some of its cargo to Europe.
