The Nigerian National Petroleum Company Limited (NNPCL) has begun exploring international crude supply options to support operations at the Dangote Petroleum Refinery, as pressure mounts on Nigeria’s fuel market amid rising global oil prices and domestic supply gaps.
According to The Punch, industry sources say the national oil company is leveraging its global trading network to source crude oil from third-party international traders to ensure a steady supply of feedstock to the refinery. The move, they explained, is aimed at sustaining domestic refining capacity while also stabilising the availability of petroleum products across the country.
NNPCL explores global supply options
Officials familiar with the development said the intervention became necessary following temporary constraints in local crude availability. According to the sources, NNPCL is working within its existing agreements to maintain crude supply to the refinery while sourcing additional volumes from the international market.
A senior official noted that the national oil company remains committed to supporting domestic refining as part of its broader mandate to safeguard Nigeria’s energy security.
“Leveraging our global crude trading network, we are sourcing third-party crude for the refinery at prices that are competitive with prevailing international market rates,” the official said.
Supply gaps pressure domestic refining
The development comes as the refinery reportedly receives about five cargoes of crude monthly from NNPCL, far below the estimated requirement of about 13 cargoes under the government’s naira-for-crude policy.
Industry analysts say the supply gap has forced the refinery to rely partly on imported crude purchased at international market prices, a situation that continues to influence petrol pricing across the country.
Energy stakeholders note that ensuring a consistent crude supply to domestic refineries remains critical to strengthening local refining capacity and improving fuel availability in Nigeria.