Victor EzejaPresident of Dangote Group, Alhaji Aliko Dangote, has said his $20 billion refinery resorted to importing more crude oil from the United States due to insufficient supply from domestic sources.
The management of the 650,000-barrel capacity refinery had, since the commencement of operations in 2024, repeatedly lamented not getting adequate supply of crude oil from domestic producers for its feedstock.
Join our WhatsApp ChannelAccording to a statement released on Thursday by the firm, Aliko Dangote, who spoke when the Technical Committee of the One-Stop Shop (OSS) for the sale of crude and refined products in naira initiative visited the refinery, said the company had been battling with crude shortage, hence the pivot to U.S. suppliers.
Dangote hailed the technical committee for helping to carry out President Bola Tinubu’s admirable naira-for-crude initiative, the statement said.
The billionaire industrialist hailed the benefits of the naira-for-crude swap agreement for the Nigerian economy, pointing out that it has, among other things, eased pressure on the dollar, reduced the price of petroleum products, and guaranteed the stability of the local currency.
According to the statement, Dangote noted that “due to a shortage of domestic crude oil, the refinery has increasingly relied on imports from the United States to meet its needs in recent months.”
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Dangote emphasized the need for robust investments in vital sectors as a means of achieving industrialization. He disclosed that the building of the refinery required the development of substantial infrastructure, including a top-notch, self-sufficient marine facility that could handle the biggest ships in the world.
He assured the delegation that the refinery would support the advancement of the country.
Speaking during the visit, the OSS Technical Committee Coordinator, Mrs Maureen Ogbonna, described the Dangote refinery as a “transformational project” with its positive impacts cutting across virtually all sectors of the Nigerian economy.
She asserted that the successful commencement of operations of the refinery is “the beginning of an industrial revolution” in the country.
According to Ogbonna, the committee was dedicated to removing operational, logistical, and regulatory obstacles that impede the seamless supply and sale of domestic crude oil and refined products in naira, in keeping with Tinubu’s goal of attaining complete domestic sufficiency in petroleum products and establishing Nigeria as a significant international exporter.
The OSS coordinator commended Dangote for the massive investment in the facility, specifically noting that the petrochemical laboratory is top-notch and that may not be found in any institution in the country.
She encouraged the Africa’s richest man to remain committed to his good works and never be discouraged by critics.
“He was never self-centred. Despite the obstacles, he was driven by a vision for Nigeria’s future, reaching far beyond Africa,” she added.
While noting that the refinery was designed to process a wide range of crude types, including African and Middle Eastern grades as well as US Light Tight Oil, the company reiterated that it can meet 100 per cent of Nigeria’s domestic demand for petrol, diesel, kerosene and aviation jet fuel, with a surplus available for export.
Prime Business Africa reports that the largest single-train refinery in the world has been importing more crude cargoes from the U.S. in recent times.
Bloomberg data on vessel-tracking revealed that the refinery has imported more cargoes of West Texas Intermediate (WTI) crude grade.
Reports indicate that the Dangote Refinery is projected to import about 17.65 million barrels of crude oil between April and July 2025, with about 3.65 million barrels already delivered in the past two months.
Dangote Refinery to Export Petrol to Asia
Meanwhile, the refinery is set to make a bold entry into the international market with the first of gasoline, popularly known as petrol in Nigeria.
A Reuters report said the refinery is set to export about 90,000 metric tonnes of gasoline to Asia.
Since the refinery began exporting gasoline last year, its shipments have remained within West Africa. The trading firm, Mercuria, is expected to load the cargo on June 22, Reuters reported.
With this and more, Dangote Refinery keeps growing its global presence, guaranteeing consistent output and securing its position as a major participant in the global fuel market.
Earlier, reports had revealed that the refinery has been supplying jet fuel to the United States, with the shipments estimated to have reached approximately 1.7 million barrels across six vessels to U.S. ports.
Prime Business Africa recalls that the Organisation of Petroleum Exporting Countries (OPEC) had stated in January that Dangote’s oil refining operation in Nigeria was beginning to disrupt the oil market in Europe.
Victor Ezeja is a passionate journalist with seven years of experience writing on economy, politics and energy. He holds a Master's degree in Mass Communication.
