Ardova Plc, a prominent player in Nigeria’s downstream oil and gas industry, has entered into a strategic bulk purchase framework agreement with the Dangote Refinery to secure a continuous supply of petroleum products for its customers at competitive prices. This collaboration marks a significant milestone in the oil and gas sector, highlighting Ardova’s role as a major off-taker of Dangote Refinery’s products.
In an official statement released on Monday, Ardova Plc emphasized that this new agreement strengthens the company’s longstanding partnership with Dangote Refinery, solidifying its position as a key player in the Nigerian petroleum market. The agreement is designed to allow Ardova Plc to off-take a broad range of refined petroleum products from the Dangote Refinery, ensuring a steady supply that will help meet the growing demand for quality fuels and lubricants in Nigeria.
Ardova Plc noted that while the company has been a significant off-taker since the refinery’s establishment, this formal agreement institutionalizes their partnership and sets the stage for a more competitive and efficient downstream oil and gas market in Nigeria. This move aligns with the vision of the Nigerian government, led by President Bola Tinubu, to foster greater competition and efficiency within the sector, which is seen as vital for the nation’s economic growth and energy security.
The company assured its customers that this new partnership would translate into reliable access to products at competitive prices, enhancing the company’s ability to deliver high-quality petroleum products across Nigeria. Ardova Plc has a vast retail network with over 700 outlets nationwide, as well as extensive storage infrastructure in key locations like Apapa, Lagos, and Onne, Rivers State. These facilities are integral to ensuring the efficient distribution of products to meet customer demand across the country.
In addition to the bulk supply agreement, Ardova Plc has been making significant strides in the lubricants sector. In November, the company unveiled its advanced lubricant oil blending plant, which boasts an annual production capacity of 150 million liters and a storage capacity of 14 million liters. This state-of-the-art facility has been designed to meet the increasing demand for lubricants in the Nigerian market, positioning Ardova as a key player in the country’s lubricant industry.
Commenting on the new lubricant blending plant, Ardova Plc’s Executive Chairman, AbdulWasiu Sowami, explained: “Three years ago, we recognized the need to upgrade our lubricant plant to meet the growing demand in the Nigerian market. This new facility represents our commitment to innovation and excellence, and it is a testament to our vision to lead the lubricants market in Nigeria.”