Nigeria Exports 306m Barrels of Crude in 10 Months While Local Refineries Face Shortages
- Nigeria exported about 306 million barrels of crude oil between January and October 2025
- Nearly 69% of total crude production was sent to export markets, leaving a limited supply for local refineries
- Local and modular refineries reported shutdowns and low capacity utilisation due to crude shortages
Oluwatobi Odeyinka is a business editor at Legit.ng, covering energy, the money market, technology and macroeconomic trends in Nigeria.
Nigeria exported an estimated 306 million barrels of crude oil between January and October 2025, even as local refineries struggled with persistent feedstock shortages, data released by the Central Bank of Nigeria (CBN) has shown.
Source: Getty Images
The data indicate that although Nigeria produces large volumes of crude oil, most of the output is directed to the export market, leaving domestic refineries with limited supply.
Several local refiners, including the Dangote Petroleum Refinery, have repeatedly raised concerns about inadequate crude supply despite the naira-for-crude arrangement. The refinery has, at different times, sourced crude oil from the United States and neighbouring countries such as Ghana to sustain operations.
Refineries forced to shut down over feedstock shortages
Modular refineries have faced similar challenges. The Crude Oil Refiners Association of Nigeria (CORAN) said some of its members were forced to shut down intermittently due to difficulties accessing crude oil.
CBN figures show that Nigeria produced about 443.5 million barrels of crude oil within the 10 months, averaging roughly 1.45 million barrels per day (mbpd). The production estimate was calculated from the bank’s monthly output figures, which were multiplied by the number of days in each month.
During the same period, crude oil exports closely followed production trends and accounted for a significant share of total output. Cumulatively, exports stood at about 306.7 million barrels, representing nearly 69 per cent of total production, while roughly 137 million barrels were left for domestic use.
Data shows fluctuations in production, exports
Monthly data reveal fluctuations in both production and exports. Output peaked at 1.54 mbpd in January, then declined in March and stabilised around 1.40 mbpd between September and October. Export volumes mirrored these movements, rising during high-production months and falling when output declined.
The imbalance between exports and domestic supply has continued despite Nigeria’s Domestic Crude Supply Obligation (DCSO), a provision under Section 109 of the Petroleum Industry Act that requires oil producers to prioritise crude supply to local refineries.
NUPRC policy aimed at improving energy security
The policy, enforced by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), is designed to strengthen energy security, reduce imports of refined products, and boost local refining capacity.
However, refiners argue that the DCSO has been weakened by the “willing buyer, willing seller” policy, which allows crude to be sold at market-determined prices. According to industry players, this has made exports more attractive to producers due to dollar-denominated payments.
Speaking with PUNCH, CORAN’s National Publicity Secretary, Eche Idoko, said several modular refineries were operating far below capacity due to inadequate feedstock.
Idoko explained that some refineries were producing as little as 10 per cent of their installed capacity, while others had shut down for months because they could not secure crude oil.
He added that even large refineries, including the Dangote facility, had been constrained by limited crude availability, forcing operators to source feedstock outside Nigeria.
Idoko said that although Nigeria has sufficient installed refining capacity, access to crude oil remains the major constraint, warning that continued shortages would further limit output.
He argued that while the “willing buyer, willing seller” policy was meant to encourage efficiency, it has made it difficult for local refiners to compete with international buyers who can pay in dollars.
Source: Twitter
Last year, the NUPRC warned that oil producers who fail to meet domestic supply obligations would not be granted export permits.
The commission also disclosed that several crude cargoes offered to local refiners were rejected due to pricing and crude grade concerns, Daily Trust reported.
In December, Dangote Refinery President Aliko Dangote confirmed that despite policy support measures, the refinery still imported crude oil from the United States, Ghana, and other African countries, noting that the US alone supplied about 100 million barrels within a year.
Nigeria earns N55.5 trillion from crude oil sales
Legit.ng earlier reported that Nigeria generated an estimated N55.5 trillion from crude oil sales in 2025, based on official production figures from the NUPRC and crude price data published by the CBN.
The estimate represents an increase from the N50.88 trillion recorded in 2024, reflecting higher crude output and relatively supportive oil prices during the year.
According to data released by the NUPRC, Nigeria produced a total of 530.41 million barrels of crude oil between January and December 2025.
Source: Legit.ng
