NPA Suspends Sale of Fuel from Sentuo Oil Refinery Over Quality Concerns

The National Petroleum Authority (NPA) has suspended the sale of fuel supplied by Chinese-owned Sentuo Oil Refinery amidst allegations of substandard quality.

This decision follows calls from industry stakeholders, including the Chamber of Petroleum Consumers (COPEC) and the Institute for Energy Security (IES), urging the Authority to halt operations at the refinery due to alleged illegal activities.

COPEC and IES have expressed their concerns regarding the refinery’s operations without the necessary permits from the NPA, as mandated by the NPA Act 2005.

Despite regulations requiring permits for entities engaged in downstream sector activities, Sentuo Oil Refinery purportedly failed to obtain the required permits for oil processing and trading.

Ubeidalah Saed, Head of Quality Control at the NPA, disclosed in an interview on Citi FM that the Authority is currently assessing products supplied to various filling stations and engaging in discussions with the refinery to determine the next steps. The suspension of the sale of Sentuo’s fuel is to address the concerns raised and protect consumers’ interests.

However, the NPA refuted claims made by COPEC and IES regarding alleged damage caused by “out-of-specification products” to vehicles and machinery. In a statement, the NPA characterized such allegations as incorrect and alarmist, emphasizing the need for a comprehensive assessment before drawing conclusions.

Read the statement below