Damolux01:
Hello all...I have tried to search for a thread that talks about starting up or owing a filling station, but seem to find none, not even any that discusses the oil and gas business or sector.
So, I have decided to create one so we can discuss the business together and assist one another to grow. I recently took up a family filling station on a lease for a period of eight( years. I do hope to learn from the gurus, who have been into it for years.

Location is Ile-Ife, Osun state.

Where is the location of the filling station in ife?

Vatod:

Depends on your the tank capacity and lot of things… bought mine at 3.5m

Lets say a 1 ton gas tank??

Desperados:


Where do you reside? And would you mind relocating?

Good morning Bros, I reside in Calabar with my family as am ready to relocate anytime soon. Thanks

MrBroke:


Lets say a 1 ton gas tank??

Okay you can budget 1.8m for the tank and dispenser

Vatod:

Okay you can budget 1.8m for the tank and dispenser

What about licensing and permit, cause I heard it's very expensive. Don't know though??

MrBroke:


What about licensing and permit, cause I heard it's very expensive. Don't know though??

Depends on your location…

Vatod:

Depends on your location…

Will it exceed 200k on any location??

Following

Vatod:

Where is the location of the filling station in ife?

Situated in a suburb of Ife, Garage Olode. Are you also operating in Ife?

Vatod:
Sorry please where is your location in Ife, am in Oshogbo

Boss...How are you coping there with DPR at the moment?

Ted4real:



Am a chartered manager if you need my services as regards stocking of products and managerial prowess. 07030919616

Na which one be chartered manager?

I been managing a filling station for 8years now, so if you need advised on how to run a station effectively I'm your sure plug..I'm based in the East. Okpotud@gmail.com

MrBroke:


What about licensing and permit, cause I heard it's very expensive. Don't know though??

I am interested in licensing, permit and tanks plus others.

Damolux01:
Hello all...I have tried to search for a thread that talks about starting up or owing a filling station, but seem to find none, not even any that discusses the oil and gas business or sector.
So, I have decided to create one so we can discuss the business together and assist one another to grow. I recently took up a family filling station on a lease for a period of eight( years. I do hope to learn from the gurus, who have been into it for years.

Location is Ile-Ife, Osun state.

To the Newbie, Petrol stations are very profitable. So the simple question will be if it's so why are there always Stations being Sold/ leased. Like the one you are currently running, why didn't any of the family members source for loan to buy products and continue running the station.

That said, there are a couple of critical factor in a filling Station's survival and profitability.
Filling stations back in the days used to be a turnover business.
Sources of income are from sales of Petrol, Diesel, Kerosene and Lube Oils and then Super Mart and Service center. But in recent times some station owners for years never sold a drop of Kerosene and Diesel and never bothered as long as they have Petrol to sell. WHY?

The major product (and income source) we all know is Petrol. As of 1999/2000 mark-up per tanker was N49500 without fuel scarcity. This is in the regulated market where pump prices are set by DPR and uniform from one station to the other, from North to South. It was impossible getting rich overnight before the era of yearly fuel scarcity in the industry.

Like other businesses, You have overheads to consider, Power ( generator), Salaries etc.

The perennial scarcity, and stations selling at twice the recommended pump price gave rise to overnight wealth syndrome now enjoyed by Owners. So the food for thought or big question: in a fully deregulated market (where product is never scarce due to multiple sources from the numerous refineries coming on stream and competitive pricing where marketers will be lowering prices to attract customers) do you think Filling Station business would still be attractive?

Prosperity4All:


To the Newbie, Petrol stations are very profitable. So the simple question will be if it's so why are there always Stations being Sold/ leased. Like the one you are currently running, why didn't any of the family members source for loan to buy products and continue running the station.

That said, there are a couple of critical factor in a filling Station's survival and profitability.
Filling stations back in the days used to be a turnover business.
Sources of income are from sales of Petrol, Diesel, Kerosene and Lube Oils and then Super Mart and Service center. But in recent times some station owners for years never sold a drop of Kerosene and Diesel and never bothered as long as they have Petrol to sell. WHY?

The major product (and income source) we all know is Petrol. As of 1999/2000 mark-up per tanker was N49500 without fuel scarcity. This is in the regulated market where pump prices are set by DPR and uniform from one station to the other, from North to South. It was impossible getting rich overnight before the era of yearly fuel scarcity in the industry.

Like other businesses, You have overheads to consider, Power ( generator), Salaries etc.

The perennial scarcity, and stations selling at twice the recommended pump price gave rise to overnight wealth syndrome now enjoyed by Owners. So the food for thought or big question: in a fully deregulated market (where product is never scarce due to multiple sources from the numerous refineries coming on stream and competitive pricing where marketers will be lowering prices to attract customers) do you think Filling Station business would still be attractive?

Filling station business will always be lucrative and attractive. Whichever way you look at it. Oil and gas has always been a good and viable business opportunity.

Ted4real:


Good morning Bros, I reside in Calabar with my family as am ready to relocate anytime soon. Thanks

Okay.

How is business? We bless God bro. The scarcity isn't a child's play anymore.

I've a first hand info of how much this costs. I'll go back to bed, get a little sleep then give an update later when I wake up.

Learning

Birniwa:
I've a first hand info of how much this costs. I'll go back to bed, get a little sleep then give an update later when I wake up.

de play

Get your T-Mobile esim from me.
Let me help you set it up.

Verifiedtrader:
Get your T-Mobile esim from me.
Let me help you set it up.

Is it the T mobile sim that will turn itself to a depot or a tanker that will supply fuel for us?

All these people dropping emails just be watched carefully, most of them are scammers trying to corner people then scam them of their hard earned money.


Deal with all nairalanders carefully, because 90% of people contacting you from here are scammers.

Prosperity4All:


To the Newbie, Petrol stations are very profitable. So the simple question will be if it's so why are there always Stations being Sold/ leased. Like the one you are currently running, why didn't any of the family members source for loan to buy products and continue running the station.

That said, there are a couple of critical factor in a filling Station's survival and profitability.
Filling stations back in the days used to be a turnover business.
Sources of income are from sales of Petrol, Diesel, Kerosene and Lube Oils and then Super Mart and Service center. But in recent times some station owners for years never sold a drop of Kerosene and Diesel and never bothered as long as they have Petrol to sell. WHY?

The major product (and income source) we all know is Petrol. As of 1999/2000 mark-up per tanker was N49500 without fuel scarcity. This is in the regulated market where pump prices are set by DPR and uniform from one station to the other, from North to South. It was impossible getting rich overnight before the era of yearly fuel scarcity in the industry.

Like other businesses, You have overheads to consider, Power ( generator), Salaries etc.

The perennial scarcity, and stations selling at twice the recommended pump price gave rise to overnight wealth syndrome now enjoyed by Owners. So the food for thought or big question: in a fully deregulated market (where product is never scarce due to multiple sources from the numerous refineries coming on stream and competitive pricing where marketers will be lowering prices to attract customers) do you think Filling Station business would still be attractive?

with subsidy will be no ! Only runing cost can finish profits of small players ! Otedola sold AP for this treats . Only large player's will survive if they can create a closed circuits ! But now too many stations . I will not build a station if there are no subsides anymore .

ahiboilandgas:
with subsidy will be no ! Only runing cost can finish profits of small players ! Otedola sold AP for this treats . Only large player's will survive if they can create a closed circuits ! But now too many stations . I will not build a station if there are no subsides anymore .

It is really becoming very difficult for small players with little or no connection, knowledge and information to make it big in the sector.

ahiboilandgas:
I will not build a station if there are no subsides anymore .

Thanks for this contribution.
Obviously you are of the opinion that the Petrol business is still viable but definitely not as an Independent Marketer. Reminds me of before the 90s when being in the Petrol business meant you had to be a Dealer to the Major Marketers.

Interestingly, as a nation we look forward to ending Subsidy. We keep our fingers crossed.

Prosperity4All:

Thanks for this contribution.
Obviously you are of the opinion that the Petrol business is still viable but definitely not as an Independent Marketer. Reminds me of before the 90s when being in the Petrol business meant you had to be a Dealer to the Major Marketers.

Interestingly, as a nation we look forward to ending Subsidy. We keep our fingers crossed.

What will be the fate of those in the sector when subsidy ends...?

Damolux01:
What will be the fate of those in the sector when subsidy ends...?

end of the road for arbitrary profits ! Only few station in very urbanized area will survive ! Other will fail and pack up ( there are two many any way) .

Hmmmm!

There are lots of businesses better than petrol business, the business is not profitable anymore.

bigsam75:
Hmmmm!

There are lots of businesses better than petrol business, the business is not profitable anymore.

It's not profitable when you are not among the big players.

bigsam75:
Hmmmm!

There are lots of businesses better than petrol business, the business is not profitable anymore.

Could you outline some please ??