Nigeria’s flagship Dangote Refinery is set to cut its reliance on foreign crude oil by the end of 2025, aiming instead to source all its feedstock from local suppliers.
The multibillion-dollar facility, located in Lagos and capable of refining 650,000 barrels per day, is gradually scaling up its domestic crude intake. In June, over half of its crude supply came from Nigerian producers, a significant shift from earlier dependence on imports from countries like the United States, Brazil, and Angola.
According to Devakumar Edwin, an executive at Dangote Industries, the transition to fully local crude is expected to happen before year’s end as existing foreign contracts wind down.
“We’re confident that improved collaboration with local traders and government agencies will help us make the full switch,” he noted.
This strategic pivot aligns with national goals to stop the costly loop of exporting crude and importing refined fuel. Nigeria’s upstream oil regulator had earlier urged producers to prioritise local supply, although many initially pushed back, citing logistical and security challenges.
Despite these setbacks, the refinery has been ramping up operations and is currently refining 550,000 barrels daily. More local cargoes are scheduled for delivery in the coming months through the Nigerian National Petroleum Company Limited (NNPCL), indicating growing momentum in the supply shift.
The transition is expected to reduce fuel import bills and help stabilise the domestic energy market, positioning Nigeria more strongly as a producer and refiner.
