The 650,000-barrels-per-day Dangote Refinery has exported its first petrol cargo to the United States, signaling a new phase in Nigeria’s refined products trade. Data from global analytics firm Kpler and market sources confirmed the development.
The vessel Gemini Pearl lifted about 300,000 barrels of gasoline from the Lekki-based refinery on August 26 and is currently en route to the US, with possible discharge at the Port of New York or New Jersey. Market participants suggested that trading firm Vitol may have chartered the vessel, though this remains unconfirmed.
New Market for Nigerian Petrol
This marks the first Nigerian petrol cargo to the US, though Dangote has already exported multiple shipments out of West Africa. In June and July, the refinery delivered three LR2 cargoes, two to the Mideast Gulf and one to Singapore.
Analysts say the latest shipment likely reflects an arbitrage play, as US Atlantic Coast RBOB prices have spiked while inventories in PADD 1 (East Coast) remain tight.
Growing Swing Supplier Role
Dangote has also supplied petrol to the Mideast Gulf during supply shortages, reinforcing its role as a potential swing supplier in global fuel markets. Traders suggest Europe could become another destination if arbitrage opportunities arise, but this would depend on the refinery’s residual fluid catalytic cracking (RFCC) unit achieving higher efficiency and European prices strengthening further.
Crude and Depot Prices Surge
Brent crude climbed 1.63% to $69.26 per barrel, while WTI rose 2.78% to $65.79 on Tuesday. Reflecting the global rally, ex-depot prices in Nigeria also moved higher: ₦850/L in Lagos (Rainoil, NIPCO), ₦865/L in Warri (Matrix), ₦870/L in Calabar (Matrix), and ₦870/L in Port Harcourt (Sigmund).
Operational Challenges Persist
The refinery continues to export low-sulphur straight-run fuel oil (LSSR), a feedstock for the RFCC unit. Market sources report the RFCC is still running at only 45–50% efficiency due to intermittent maintenance. The unit was shut for about 10–15 days in August, though operations have since resumed.
Analysts note that high metal content in LSSR exports underscores ongoing operational constraints at the RFCC, even as Dangote pushes to expand its footprint across global markets.