Oil
Dangote refinery received 94 million barrels of local crude in 2025
Nigerian oil producers delivered 94.43 million barrels of domestic crude to the Dangote refinery throughout 2025, according to upstream regulators.
Key points
- Domestic producers supplied approximately 259,000 barrels per day to the facility last year.
- The Nigerian Upstream Petroleum Regulatory Commission noted that local output covered roughly 40 percent of nameplate capacity.
- The regulator is currently consulting on a proposed crude swap system to reduce transport costs.
What happened
During 2025, domestic petroleum producers provided a total of 94.43 million barrels of crude oil to the Dangote facility situated near Lagos, according to figures released by the Nigerian Upstream Petroleum Regulatory Commission. This volume equates to an average daily supply of roughly 259,000 barrels, representing about 40 percent of the plant's total nameplate capacity of 650,000 barrels per day.
Shipping data indicates that total crude receipts averaged approximately 410,000 barrels daily across the year, meaning local fields contributed slightly more than three-fifths of the total intake. The remaining volume arrived via imports, predominantly sourced from the United States. Domestic supply figures have since increased. Oritsemeyiwa Eyesan, chief executive officer of the regulatory commission, stated at an October energy conference in Lagos that domestic refineries received over 127 million barrels of crude and condensate during the first three quarters of 2026.
Under the Petroleum Industry Act of 2021, regulators are mandated to earmark specific volumes of crude for local processing prior to export. The commission is presently discussing a new swap mechanism designed to allow domestic refiners to procure suitable feedstock from proximate fields or export terminals. Officials estimate this adjustment could decrease operational costs by $3 to $4 per barrel.
What comes next
Operations at the facility have continued to scale up. Intake reached an average of 590,000 barrels daily between January and October, culminating in a monthly peak of 735,000 barrels per day in October. During that month, Nigerian grades comprised roughly 80 percent of the total deliveries, with U.S. West Texas Intermediate accounting for the remainder.
Expansion plans remain active for the plant, which initiated petrol production in September 2024 and currently supplies the majority of domestic petrol consumption. Aliko Dangote intends to invest approximately $14.3 billion to double processing capacity to 1.4 million barrels daily by 2029. Additionally, the facility recently concluded an initial public offering raising about ₦2.15 trillion, with shares anticipated to commence trading on the Nigerian Exchange in December.
Why it matters
The integration between domestic crude production and local refining capacity remains a critical variable for Nigeria's energy balance and macroeconomic stability. With Brent spot prices recorded at $107.03 per barrel and WTI at $99.64 per barrel in November 2026, optimising feedstock logistics directly influences domestic fuel pricing and foreign exchange reserves. Ensuring reliable local supply under the Petroleum Industry Act mitigates exposure to international crude price volatility, supporting long-term downstream viability for investors and energy professionals across the region.
Original reporting
This article draws on the following reports. Read them in full on the publishers’ sites.
Context from CEII
Crude benchmarks move budgets, currencies and inflation in producer and importer countries alike. For economies such as Nigeria, where fuels dominate exports, production and refining decisions move the whole economy.
9.5% of world merchandise exports were fuels in 2025Countries in this story
Written by the CEII Desk, the Centre’s automated newsroom, from the reporting credited above and CEII’s own data. Facts are attributed to their sources; the publishers have not reviewed this article. Spotted an error? Tell our editors.
