Dangote Refinery Prepares for More Fuel Price Cuts, Imports 5 Million Barrels of Crude

• Dangote Refinery has continued to depend on imported crude oil to meet its refining needs as it prepares to reach full production capacity
• Recent data shows that the refinery received about five million barrels of crude oil in May 2025 from the global market
• Experts have said the facility is planning to raise its production levels and may release another fuel price cut as crude oil prices continue to fall

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.

The Dangote Refinery increased its crude imports in May 2025, receiving about 672,324 metric tonnes of crude from five different oil tankers.

The cargoes were delivered between April 23 and May 21, 2025, and were approximately 4.93 million barrels, according to industry conversion rates.

Dangote Refinery receives five million barrels

The volumes show the refinery’s continued dependence on imports to meet processing needs amid challenges in getting local crude under the Nigeria Domestic Crude Supply Obligation (DCSO).

According to reports, tanker tracking data from several ports between May 2 and May 22 shows that some oil shipments were delivered to the Dangote Refinery in Lekki.

Vessels like HERCULES 1 reportedly completed discharge within the period, and others, such as SONANGOL KALANDULA and SIENNA, have yet to arrive or are still discharging cargoes.

According to reports, the refinery received about 672,324 metric tonnes of crude oil in May 2025.

In line with an industry-average conversion rate of one MT equals 7.33 barrels. 

This means that the 673,324 MT and the 7.33 equals about five million barrels.

Domestic supply shortfalls force imports

The Dangote Refinery has continued to depend on imported crude such as US WTI and West African light sweet crudes.

Sources say that the delays in enforcing the DCSO by international oil firms (IOCs) and production shortfalls from local producers have forced the mega refinery to turn to the global oil market.

Reports reveal that the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) has promised to enforce compliance with the DCSO. However, actual feedstock remains low and inconsistent.

Experts explain that as the facility prepares to ramp up production, its demand for a consistent and quality crude supply will rise.

More price cuts ahead as Dangote increases production

The plant’s dependence on imports may continue unless domestic producers increase production or the state oil company, the Nigerian National Petroleum Company Limited (NNPC), improves allocation efficiency.

The import of five million barrels of crude oil puts Dangote as a key player in global spot markets, and Nigeria’s self-sufficiency in refined products.

The Dangote Refinery has been instrumental in reducing fuel imports in Nigeria and has been touted as a major disruptor in the European fuel supply chains to West Africa.

In 2025, the mega refinery has cut fuel prices six times, with experts predicting further reductions as global crude oil prices fall.

The heavy imports of crude oil by the refinery mean that it is preparing to hit full production capacity. 

Dangote Refinery explains plan to supply Nigeria's fuel demands

Legit.ng earlier reported that Dangote Group announced that its refinery had started producing 57 million litres of Premium Motor Spirit (PMS), commonly known as petrol, daily.

This was disclosed during a recent tour of the refinery complex by a delegation from Zambia, led by the country’s Minister of Energy, Makozo Chikote, and also Aliko Dangote, President of Dangote Industries Limited (DIL), to explore a partnership.

After the tour, Dangote stated that the Dangote Petroleum Refinery has enough petrol in storage to meet Nigeria's domestic demand.

Source: Legit.ng