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Airline Operators Confirm Jet A1 Fuel Procurement from Dangote
By
Jago
Airline operators in Nigeria have confirmed that they are now purchasing Jet A1 fuel from Dangote’s refinery. Prof. Obiora Okonkwo, spokesperson for the Airline Operators of Nigeria (AON), told that the organization began buying Jet A1 from Dangote a few months ago.He explained that the price of Jet A1 fuel varies based on several factors, including the airport location. “Continue Reading>>>
The cost of Jet A1 changes depending on the time and airport,” Okonkwo stated.An industry official, who wished to remain anonymous, said the high cost of imported Jet A1 fuel pushed the industry to consider local sourcing. “We met with Dangote and expressed our interest in partnering with them because Jet A1 fuel has become too expensive due to its importation,” the official explained.
The official noted that sourcing from a Nigerian refinery like Dangote’s could potentially lower costs, adding, “If we can secure enough fuel from a local refinery, it should be cheaper than importing it.”However, the official said that discussions with Dangote stalled due to an unresolved dispute between Dangote and the Nigerian National Petroleum Corporation (NNPC).
“Until that issue is resolved, Dangote has not provided any concrete feedback,” he added.While Dangote had proposed a price for the fuel, the official pointed out that nothing was finalized due to the ongoing dispute. “We haven’t moved forward on discussions about quantity since we can’t do that without settling on a price. The proposed price is not yet confirmed until the issue with NNPC is resolved.”continue Reading>>>
The official also mentioned that the demand for Jet A1 fuel fluctuates based on the number of aircraft in operation. “The demand depends on capacity—if I have fewer aircraft flying tomorrow than today, my fuel needs will drop.”It is important to note that the Federal Government recently appointed Dangote Refinery as the sole supplier of jet fuel for Nigeria’s airlines.
The Minister of Aviation and Aerospace Development, Festus Keyamo, stated that the airline operators had agreed to designate Dangote as their exclusive provider of jet fuel. This decision came after the Federal Government implemented a naira-for-crude agreement with Dangote and other local refiners.
