Dangote Petroleum Refinery and Petrochemicals has said International Oil Companies operating in Nigeria still sell crude meant for domestic refining through third parties, resulting in additional costs that make Nigerian crude less competitive.
The refinery said this while clarifying reports based on data released by the Nigerian Upstream Petroleum Regulatory Commission, which suggested that it rejected 15.5 million barrels of crude offered by local producers in the second quarter of 2026.
In a late statement on Tuesday, the Group Vice President, Oil & Gas and Fertiliser, Dangote Industries Limited, Devakumar Edwin, said the refinery remained committed to sourcing Nigerian crude and supporting the Domestic Crude Supply Obligation framework, but noted that adequate volumes must be available at commercially viable prices.
He said the refinery had faced significant challenges in securing crude directly from domestic producers since the commencement of the DCSO framework.
“As a result, a substantial portion of the crude allocated under the arrangement has had to be sourced through International Oil Companies and third parties rather than directly from Nigerian upstream producers,” Edwin said.
