The Nigerian National Petroleum Company Limited (NNPC) plans to stop using crude oil swaps in favor of cash payments for petrol imports once the country’s gasoline subsidies are eliminated.
As a result, the corporation is ending its crude oil exchange agreements with traders and will pay cash for the import of gasoline as private companies may start doing so as early as this month, according to Reuters.
This indicates that NNPC is getting ready to cancel its crude swap agreements with dealers. The state oil corporation will now pay for imported gasoline with cash rather than trading crude oil for refined petroleum products.
President Bola Tinubu’s proposals to deregulate the gasoline industry and lessen the strain on government resources include this action.
Leadership.