A Petroleum Depot License is one of the most strictly regulated authorisations in Nigeria’s downstream and midstream petroleum sector. Any company intending to operate a petroleum storage depot, whether for bulk storage, wholesale trading, throughputs, import discharge, or third-party storage, must obtain the relevant license or permit from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).

Table of Contents

1. Introduction

2. What Is a Petroleum Depot License?

3. Who Needs This License?

4. Regulatory Framework

5. Overview of the Official Licensing Portals

6. Step-by-Step Application Process

7. Documentation Requirements

8. Cost & Fees (Official Examples)

9. Inspections & Technical Assessments

10. Renewal, Modification & Compliance

11. Complete Applicant Checklist

12. Frequently Asked Questions

13. Common Misconceptions

14. Sample Timeline

15. Conclusion & Next Steps

1. Introduction

Nigeria’s petroleum sector remains one of the largest and most regulated in Africa. Companies wishing to operate in the storage and bulk handling of petroleum products must obtain a Petroleum Depot License, which ensures compliance with safety, technical, environmental and operational standards.

2. What Is a Petroleum Depot License?

A Petroleum Depot License authorises a company to operate petroleum storage facilities, including:

• Tank farms

• Bulk storage depots

• Jetty-linked storage terminals

• Third-party storage facilities

• Facilities receiving imported products

• Facilities supplying wholesalers and marketers

The license validates that a depot complies with safety, engineering, environmental and quality standards established by NMDPRA.

3. Who Needs This License?

You must apply for a Petroleum Depot License if your business activities involve:

• Operating petroleum storage depots

• Storing products for yourself or third parties

• Receiving imported petroleum products

• Discharging products from vessels at a jetty into storage

• Handling wholesale distribution to marketers

• Participating in bulk trading, coastal movements or trans-loading

If a company operates tanks, loading gantries or storage systems above regulatory thresholds, licensing is mandatory.

4. Regulatory Framework

The Petroleum Depot License is governed by the following regulatory instruments:

• Petroleum Industry Act (PIA)

• Midstream and Downstream Petroleum Operations Regulations

• NMDPRA safety, environmental and technical guidelines

• Portal-based licensing standards

Licenses generally have specific validity periods and often expire on December 31st of the issuance year unless stated otherwise.

5. Overview of the Official Licensing Portals

NMDPRA licensing is now handled 100% electronically through designated portals:

a. CELPS (Central Electronic Licensing & Permit System)

Used for most midstream and downstream licensing activities.
This is often the first account to create.

b. DEPOT Licensing Portal

Dedicated to depot license applications, renewals and fee schedules.

c. IMPEX Portal

Used if the depot handles imported petroleum products, includes import permits, vessel notifications and product receipt processes.

d. AGS Portal

Used for gas-related depots (LPG, CNG, LNG).

6. Step-by-Step Application Process

Below is the standardised step-by-step process for obtaining a Petroleum Depot License exactly as implemented by NMDPRA across its licensing portals.

Step 1: Conduct Pre-Application Compliance Checks

Before initiating the online process:

• Verify CAC registration and up-to-date tax compliance.

• Secure site documentation (title, lease, or management agreement).

• Gather all engineering drawings and tank lists.

• Prepare HSE documentation (safety case, EIA, ERP).

• Ensure firefighting and spill-control systems meet standards.

Step 2: Register Your Company on the Appropriate Portals

• Create a CELPS account.

• Create a DEPOT portal account for depot-specific licensing.

• Create an IMPEX account if your depot will receive imported products.

Portal account creation is mandatory before any licensing activity.

Step 3: Prepare All Required Documentation

Documents must be scanned clearly and labelled in PDF format. These include:

• CAC incorporation documents

• Tax Identification Number (TIN)

• Storage or lease agreements

• Tank inventory and engineering drawings

• HSE manuals and environmental approvals

• Bank reference (for import-related operations)

• Fire safety and technical certifications

Step 4: Log Into the Portal and Begin Application

• Select New Depot License or New Permit Application.

• Fill required fields (company, facility, technical details).

• Upload required documents in portal-specified order.

Incomplete applications are automatically rejected.

Step 5: Pay All Applicable Fees

Typical fees include:

• Application fee

• Processing fee

• Import/performance fees (volume-based) where applicable

• Vessel notification fees (if import-bound)

Payment is usually via Remita or card-based electronic payment.

Step 6: Technical Review & Site Inspection

NMDPRA conducts on-site verification, inspecting:

• Tank integrity and calibration

• Firefighting and safety systems

• Spill containment and environmental systems

• Piping, manifolds and meter accuracy

• Laboratory and quality control processes

• HSE implementation and emergency response

Deficiencies must be corrected before a license can be granted.

Step 7: License Issuance

After meeting all requirements, NMDPRA issues the Petroleum Depot License digitally on the portal.
A printed copy may be collected if required.

Step 8: Post-Licensing Obligations

• Submit periodic depot activity returns

• Renew the license before expiry

• Notify the Authority of any modifications

• Maintain compliance with safety and environmental rules

7. Documentation Requirements (Full Checklist)

This is the typical minimum; the portal may request additional supporting documents.

8. Costs & Fee Structure (Official Examples)

Below is a representative fee guide based on typical portal fee ranges.
Note: Actual fees must always be verified on the DEPOT or IMPEX portal.

Fees may differ depending on capacity, product type and regulatory updates.

9. Inspections & Technical Assessments

NMDPRA inspectors evaluate:

a. Engineering & Structural Safety

• Tank shell thickness

• Bund walls and secondary containment

• Fire hydrants, hoses, foams, extinguishers

• Pumps, manifolds, and transfer systems

b. HSE Compliance

• Emergency Response Plan

• Staff PPE

• Fire drills and training records

c. Environmental Compliance

• Spill kits

• Sludge management

• Drainage and effluent controls

d. Quality Control

• Accredited laboratory

• Product purity tests

• Metering accuracy

Non-compliance may result in delays, conditional licensing or rejection.

10. Renewal, Modification & Compliance

Renewal

Licenses are usually renewed annually and should be applied for at least 30 days before expiry.

Modification

Any of the following requires modification approval:

• Tank capacity changes

• Structural alterations

• New product types

• Jetty/throughput link addition

Compliance Enforcement

Violations may lead to:

• Suspension

• Penalties

• Revocation

• Sealing of facility

11. Complete Applicant Checklist (Download-Ready)

Before Applying:

• CAC documents ready

• TIN & tax clearance

• Site/lease/title agreement

• Full engineering drawings

• Tank schedule

• EIA or environmental documents

• HSE manual & ERP

• Fire safety certificates

• Laboratory accreditation

• Bank reference (import)

• Payment receipts

• Portal registration on CELPS, DEPOT & IMPEX

12. Frequently Asked Questions.

1. What is the difference between a depot license and an import permit?

A depot license allows operation of a storage facility, while an import permit allows importation and discharge of petroleum products into a depot.

2. How long does the licensing process take?

Typically 3–8 weeks, depending on:

• Document completeness

• Inspection scheduling

• Technical compliance

3. Can a company operate tanks without a depot license?

No. Operating without a license is a regulatory offense punishable by sanctions.

4. Does every depot need an IMPEX permit?

Only if it receives imported petroleum products.

5. Do upgrades or capacity expansions need approval?

Yes. Any modification must be approved before implementation.

13. Common Misconceptions Corrected

Misconception 1: “Portal registration is optional.”

Incorrect. All depot licensing is processed 100% online.

Misconception 2: “One license covers any future expansion.”

Incorrect. Any change in capacity or structure requires modification approval.

Misconception 3: “A depot can import without IMPEX registration.”

Incorrect. IMPEX is mandatory for all import-related activities.

Misconception 4: “Fire service approval is not needed.”

Incorrect. Fire safety systems are a core licensing requirement.

14. Sample Licensing Timeline (Typical)

Times may vary based on depot readiness.

15. Conclusion & Next Steps

Obtaining a Petroleum Depot License in Nigeria requires careful preparation, regulatory alignment, and strict adherence to technical and environmental standards. By following the steps outlined in this guide, preparation, portal registration, document compilation, inspection readiness and renewal planning, your company can achieve full compliance and operate confidently within the regulated petroleum value chain.