The Nigerian National Petroleum Company (NNPC) Limited has reportedly halted its naira-for-crude deal with Dangote Petroleum Refinery and other local refineries. This decision may push petrol prices higher, as refineries will now rely on costlier international crude purchases in dollars. Despite increased crude production, NNPC has informed refineries that all its crude has been forward-sold. The naira-for-crude initiative, launched on October 1, 2024, aimed to stabilize supply, cut import costs, and reduce pump prices. However, sources say the policy is suspended until 2030. Nigeria spent over $4.3 billion importing 6.38 billion liters of petrol and diesel in five months, despite efforts to boost local refining. With the recent downstream deregulation, NNPC remains a major fuel importer. The move has raised concerns over forex volatility, with analysts warning it could reverse recent currency gains. Dangote Refinery, which was set to receive 385,000 barrels per day under the scheme, has struggled with supply shortages. In November 2024, Dangote’s VP, Edwin Devakumar, criticized NNPC’s deliveries as “peanuts.” The federal executive council (FEC) had approved selling 450,000 barrels of crude in naira to local refineries, with Dangote as the pilot. However, NNPC’s alleged failure to meet commitments has cast doubt on the program’s future.