Pinnacle Oil and Gas Limited, a major operator in Nigeria’s downstream sector, has denied blending substandard petroleum products.
Pinnacle Oil & Gas in a statement said it would never engage or attempt to import or distribute any off-spec or substandard product into the Nigerian market.
In a press statement on Sunday, the Group Chief Branding and Communications Officer of Dangote Group Anthony Chiejina, had said that “An international trading company has recently hired a depot facility next to the Dangote Refinery, to use it to blend substandard products that will be dumped into the market to compete with Dangote Refinery’s higher-quality production.
This he said is detrimental to the growth of domestic refining in Nigeria.
Chiejina said “We should point out that it is not unusual for countries to protect their domestic industries to provide jobs and grow the economy. For example, the US and Europe have had to impose high tariffs on EVs and microchips to protect their domestic industries.”
But, Pinnacle Oil and Gas Limited, located close to the Dangote refinery, said it does not get involved in blending substandard petroleum products.
In a statement by the Chief Executive Officer of the company, Bob Dickerman, stated: “Deregulated commodity markets work best with an open system of multiple sellers and multiple buyers bidding to establish the market price. For Nigeria to have supply options that include local refineries or imports is the mechanism that will establish the lowest sustainable prices. “A free market is also regulated to ensure that all products meet the country’s specifications and that all players behave responsibly.
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“On November 3, 2024, the Dangote Organization issued a Press Release. In the Release, Dangote alleged that “…an international trading company has recently hired a depot facility next to the Dangote Refinery, to use it to blend substandard products that will be dumped into the market to compete with Dangote Refinery’s higher quality products. “Pinnacle Oil & Gas has the only depot facility next to the Dangote Refinery. Without equivocation, we state that Pinnacle Oil & Gas would never engage or attempt to import or distribute any off-spec or substandard product into the Nigerian market. Our company has a reputation for integrity and regulatory compliance which is extremely important to us.”
