NNPCL Allocates 48.6 Million Barrels of Crude Oil to Dangote Refinery

NNPCL Allocates 48.6 Million Barrels of Crude Oil to Dangote Refinery Over 10 Months

The Nigerian National Petroleum Company Limited (NNPCL) has supplied a total of 48.6 million barrels of crude oil to the Dangote Petroleum Refinery in the past 10 months, according to investigations by Vanguard. Official transaction data revealed that 3.4 million barrels were delivered in December 2023, followed by 3.5 million barrels in February 2024.

Additional crude oil supplies to the refinery included 3.3 million barrels in both March and April, 3.0 million barrels in May, 5.1 million barrels in June and July, 4.8 million barrels in August, and 5.6 million barrels in September. For October 2024, deliveries have already reached 11.7 million barrels.

However, sources close to the Dangote Refinery noted that these volumes remain significantly lower than the refinery’s installed capacity of 650,000 barrels per day.

The NNPCL has not yet disclosed the crude oil requirements for Nigeria’s refineries, including the Dangote Refinery, for the last quarter of 2024. In the second quarter of 2024, the government estimated the daily crude oil requirement for all refineries in Nigeria, including Dangote, at 597,700 barrels per day—an increase from the 483,000 barrels per day required in the first half of the year.

This data suggests that NNPCL has allocated less than 50% of the Dangote Refinery’s total production capacity.

Petrol Imports Drop by 12% in 2023

Meanwhile, Nigeria’s import of Premium Motor Spirit (PMS), commonly known as petrol, decreased by 12.6% year-on-year to 20.29 billion litres in 2023, down from 23.24 billion litres in 2022, according to the National Bureau of Statistics (NBS). The volume of PMS transported by trucks also fell by 16.9%, recording 20.22 billion litres compared to 24.35 billion litres in the previous year.

In contrast, the import of Automotive Gas Oil (AGO), also known as diesel, rose to 4.94 billion litres in 2023, up from 3.99 billion litres in 2022. NBS data showed that 109.39 million litres of AGO were locally produced in 2023, marking a 6.76% increase from the 102.47 million litres produced in 2022.

The production of Household Kerosene (HHK) also saw significant growth, with 69.7 million litres produced in 2023, a 56% increase from the 44.68 million litres recorded in 2022.

The NBS highlighted the end of local petrol production in 2018, when the country produced 128.08 million litres. In 2023, the volume of PMS imported stood at 20.30 billion litres, a 13.77% decline compared to 23.54 billion litres in 2022. Conversely, AGO imports increased by 23.66%, totaling 4.94 billion litres in 2023, up from 4.00 billion litres in the previous year.

NBS Reports:
“In 2023, PMS truck out stood at 20.22 billion litres, indicating a 16.96% decrease relative to 24.35 billion litres recorded in 2022.”

“About 69.71 million litres of HHK were locally produced in 2023 compared to 44.68 million litres in 2022, indicating a growth rate of 56.02%.”

“For AGO, 109.39 million litres were locally produced in 2023, representing a 6.76% growth rate compared to 102.47 million litres in 2022.”

“In terms of imported products, 20.30 billion litres of PMS were imported in 2023, showing a 13.77% decrease compared to 23.54 billion litres in 2022. Also, 4.94 billion litres of AGO were imported in 2023, reflecting a 23.66% increase compared to 4.00 billion litres the previous year.”

This data signals key shifts in Nigeria’s fuel import and production patterns as the country continues to navigate its energy demands and domestic production capacities.NNPCL Allocates 48.6 Million Barrels of Crude Oil to Dangote Refinery