The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) is exploring a direct supply arrangement with Azikel Refinery in Bayelsa State that could give its members access to locally refined petroleum products.
The proposed offtake partnership was discussed during a visit by a PETROAN delegation led by its National President, Dr Billy Gillis-Harry, to the refinery in Yenagoa, where they met with Azikel Refinery Chairman, Dr Eruani Godbless, and members of the management team.
The discussions focused on how the refinery and petroleum products retailers could establish a sustainable commercial relationship as Azikel progresses with its operations.
Under the proposed arrangement, PETROAN members would purchase petroleum products directly from the refinery, subject to mutually agreed commercial, technical and operational terms.
Gillis-Harry said the association was seeking practical partnerships with indigenous refiners as Nigeria expands its domestic refining capacity.
He said stronger links between refineries and retail outlets could improve product availability, strengthen supply chains and provide greater certainty for businesses and consumers.
“Our objective is not simply to discuss offtake. We want to establish a dependable supply relationship that works commercially for the refinery and gives our members greater confidence in planning their businesses,” Gillis-Harry stated.
According to PETROAN, the engagement was also aimed at understanding Azikel’s development and operational plans and identifying areas where the refinery could work more closely with petroleum products retailers.
Godbless welcomed the delegation and highlighted the importance of strategic relationships with retail outlets as the refinery advances its operations.
Both parties agreed to continue discussions on the commercial and operational requirements needed to progress the proposed offtake arrangement.
The initiative comes amid efforts to expand domestic refining capacity and increase the availability of locally refined petroleum products in Nigeria.
For PETROAN, the proposed Azikel partnership forms part of a broader engagement with indigenous refineries and other stakeholders across the downstream petroleum value chain.
The association said it would continue discussions with domestic refineries, government institutions and industry stakeholders as it works towards a more efficient, competitive and sustainable petroleum products supply chain.
The PETROAN-Azikel arrangement remains subject to further commercial and operational discussions between both parties.