Aliko Dangote, President of the Dangote Group, has disclosed that the Dangote Petroleum Refinery is increasingly sourcing crude oil from the United States due to ongoing shortages in local supply.

The refinery, which has a processing capacity of 650,000 barrels per day, is expected to bring in approximately 17.65 million barrels of crude between April and July 2025. Of this volume, 3.65 million barrels have already been delivered over the last two months, with additional shipments underway under the federal government’s naira-for-crude policy.

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During a visit by the Technical Committee of the One-Stop Shop (OSS) for domestic crude sales and refined product transactions in naira, Dangote explained that the scarcity of local crude had compelled the refinery to ramp up imports from the U.S. The delegation, led by OSS Coordinator Mrs. Maureen Ogbonna, applauded the refinery’s transformative effect on Nigeria’s economy.

In a statement released Thursday, Dangote praised the naira-for-crude initiative for helping to lower petroleum product prices, ease foreign exchange pressure, and stabilise the naira. Nevertheless, he pointed out that the refinery had come to depend heavily on U.S. crude, particularly the WTI Midland variety, which now dominates its supply stream.

Designed to refine a diverse range of crude types from Africa, the Middle East, and North America, the facility has the capacity to fully meet Nigeria’s domestic demand for petrol, diesel, kerosene, and aviation fuel, with excess production intended for export.

Ogbonna described the $20 billion refinery as a cornerstone of Nigeria’s industrial advancement, touching multiple sectors from healthcare and construction to food processing and plastics. She reaffirmed the government’s commitment to removing regulatory and logistical challenges that hinder the supply of locally sourced crude in naira.

To maintain steady operations and meet production targets, the refinery has turned to international markets. According to data from Blue Sea Maritime, 21 oil tankers delivered 3.65 million barrels of crude to the Lagos port for the refinery between April and May. Additional shipments are expected in the coming weeks.

Industry experts say the preference for U.S. crude is driven by its consistent availability, competitive pricing, and superior refining qualities. While Nigeria does produce premium light sweet crude such as Bonny Light and Qua Iboe, supply interruptions and infrastructure issues make U.S. crude a more dependable choice.

Energy analysts at Energy Aspects and Rystad Energy explained that WTI crude improves refining output, particularly in gasoline production. Between December 2024 and June 2025, the Dangote refinery imported 27.1 million barrels of U.S. crude, compared to 46.2 million barrels from Nigerian government allocations.

The revived naira-for-crude agreement, which began with an initial allocation of 350,000 barrels, is intended to guarantee a steady supply of crude to local refiners and ensure price stability at fuel stations.

The Dangote Group reaffirmed its intention to maintain stable pricing for petroleum products, highlighting its broader goal of supporting the domestic economy and shielding consumers from volatility in global oil markets.