The $20 billion Dangote Petroleum Refinery is set to significantly ramp up domestic crude usage by lifting 10 cargoes from the Nigerian National Petroleum Company Limited (NNPC) between July and August, in a major step toward halting crude oil imports by the end of 2025.

According to a Bloomberg report seen by ireportmedia, the Dangote refinery—Africa’s largest—plans to fully transition to Nigerian crude supply by December, replacing hundreds of thousands of barrels of imported oil currently used to power the 650,000 barrels-per-day (bpd) facility.

The move is expected to reduce Nigeria’s dependence on imported fuels and improve the country’s foreign exchange stability. Five cargoes—each nearly a million barrels—are to be lifted from the NNPC in July, with another five scheduled for August. This would amount to 10 million barrels of Nigerian crude delivered over two months.


Vice President of Dangote Industries, Devakumar Edwin, who oversees the Lagos-based refinery, confirmed the plan to Bloomberg, stating that the company expects to transition entirely to local crude once current long-term contracts between Nigerian oil producers and foreign traders expire.

“We expect some of the long-term contracts will expire. Personally, and as a company, we expect that before the end of the year, we can transition 100 per cent to local crude,” Edwin said.

In June, over half of the refinery’s crude supply—about 53 per cent—was sourced from Nigerian producers, while 47 per cent came from the United States, highlighting a growing shift toward domestic crude utilization.

Despite the federal government’s directive under the Domestic Crude Supply Obligations (DCSO), many Nigerian oil producers have resisted supplying to local refineries due to existing export commitments. The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) previously reported that producers raised concerns about binding contracts with foreign offtakers, as well as issues such as crude theft and pipeline vandalism in the Niger Delta that have affected output.

As a result, the Dangote refinery has had to supplement its operations with crude from Brazil, Angola, Ghana, and Equatorial Guinea. However, Edwin expressed optimism that improved cooperation with local suppliers and government support will lead to a stable and sustainable crude supply for the refinery.



Currently, the refinery is processing approximately 550,000 barrels of crude per day, edging closer to its full nameplate capacity of 650,000 bpd. This positions the refinery not only to meet Nigeria’s refined fuel demand but also to export to neighboring African countries.

The refinery, built to end the wasteful practice of exporting Nigeria’s crude only to import refined products at higher costs, is a key part of Nigeria’s broader energy security strategy. Its output has already started to reduce the country’s dependence on petroleum imports, with local fuel supply increasing steadily in recent months.


If the December target is met, Dangote’s refinery could become fully self-sufficient in feedstock and emerge as a net supplier of refined fuels to other parts of Africa, further shifting regional trade dynamics. Analysts say this development will also help reduce Nigeria’s forex burden and improve trade balance, especially amid ongoing efforts to stabilise the naira.

According to sources familiar with the plans, the refinery is also considering further expansion of its crude storage facilities and logistics infrastructure, ensuring a seamless transition to fully local supply.

As the global energy market continues to evolve, Dangote’s progress in achieving full operational capacity using Nigerian crude marks a significant milestone for both the company and the nation’s oil sector.