The Federal Government has reaffirmed its strong commitment to meeting both local and international oil demands through improved domestic refining, policy reform, and private sector partnerships.
This strategic approach, according to the Minister of State for Petroleum Resources, Heineken Lokpobiri, reflects President Bola Tinubu’s Renewed Hope Agenda aimed at transforming Nigeria into a self-sufficient energy powerhouse.
Lokpobiri made the remarks in Lagos during the opening of the Crude Oil Refinery-Owners Association of Nigeria (CORAN) 2025 Summit, themed “Refinery – Key to Energy Security in Africa.”
The minister, represented by his Technical Adviser, Ndah Adaba, said the Federal Government to meet local and international oil needs plan was anchored on strengthening local refining capacity and boosting crude supply security.
He noted that the administration’s focus was not just on exporting crude oil but ensuring that every barrel produced in Nigeria contributes to the nation’s economic development and global energy responsibilities.
“Our goal is simple — every drop of crude oil produced must support both domestic refining and international commitments,” Lokpobiri said.
Federal Government to Meet Local and International Oil Needs Through Refining Expansion
The minister highlighted several ongoing reforms that are reshaping the energy landscape.
One of the most significant, he said, is the Naira-for-crude sale policy, a measure designed to cushion the impact of exchange rate fluctuations and reduce the overall cost of fuel production.
This policy allows local refiners to purchase crude oil in the Nigerian currency rather than in U.S. dollars — a move that strengthens the economy and supports indigenous investors.
According to Lokpobiri, the government has also streamlined the refinery licensing process through the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA).
This process now provides a clear path from license issuance to the operation stage, ensuring that genuine investors are encouraged rather than hindered by bureaucracy.
“Through the Domestic Crude Oil Supply Obligation (DSCO), we have ensured that refiners have reliable access to feedstock. No country can achieve energy independence without refining its own crude,” he said.
Lokpobiri explained that the Federal Government to meet local and international oil needs strategy also aims to position Nigeria as a regional refining hub through the newly launched West African Fuel Reference Market, which will enable the country to supply refined products to neighbouring nations and reduce the region’s dependence on imports from distant refineries.
Federal Government to Meet Local and International Oil Needs Under Renewed Hope Agenda
Lokpobiri cited indigenous successes such as Dangote Refinery and Petrochemical, Waltersmith Petroman Refinery, and Aradel Holdings as evidence that Nigeria’s private sector has both the expertise and capacity to refine locally.
“These refineries are not just industrial projects — they are symbols of national pride and confidence in our policy direction. Our target is to replicate this success across every oil-producing state,” he said.
He further emphasized that the Federal Government to meet local and international oil needs plan is integral to the African Union’s energy security goals under the African Continental Free Trade Area (AfCFTA), fostering intra-African trade and shared infrastructure.
Lokpobiri assured industry stakeholders that the government would guarantee feedstock security, expand fiscal incentives, and deepen partnerships across African nations to promote product exchange and logistics collaboration.
“Africa’s energy future will depend on how well we can refine our own crude, share infrastructure, and empower our industries. The Federal Government is fully committed to this vision,” he said.
Regulatory Clarity Driving Federal Government Efforts
Speaking at the same event, the Chief Executive Officer of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Farouk Ahmed, said rb egulatory transparency remains a key driver of the government’s energy reform agenda.
Represented by Ayo Cadoso, the South-West Regional Coordinator of NMDPRA, Ahmed noted that the authority has gazetted 18 new regulations covering all stages of refinery development — from establishment to operations.
“These rules were co-created with industry stakeholders to ensure fairness, transparency, and investor confidence,” Ahmed said.
“We want to turn regulatory stability into investment assurance, ensuring that refiners can thrive in a predictable environment.”
He added that the authority ensures Naira-denominated crude sales to protect investors from foreign exchange volatility while guaranteeing efficient evacuation and distribution of refined products to local and regional markets.
Building Investor Confidence in Nigeria’s Oil Sector
Ahmed also revealed that the authority has accelerated permit approvals and project support through structured service-level agreements, giving investors certainty and technical assistance throughout project lifecycles.
He stressed that the Federal Government to meet local and international oil needs approach depends on two key pillars — regulatory integrity and investor trust.
“When investors trust that policies are consistent and transparent, capital flows naturally into the sector,” he said. “Nigeria’s refining future will be shaped by clarity, confidence, and collaboration.”
According to Ahmed, Nigeria’s refining sector is on the verge of a historic transformation — from a crude exporter to a net exporter of refined petroleum products.
He praised the Dangote Refinery and the rising number of modular refineries as evidence of Nigeria’s evolving refining ecosystem.
“We are not just refining oil; we are refining our economic destiny,” he declared.
With the Federal Government to meet local and international oil needs initiative, Nigeria is charting a new path toward energy independence, regional influence, and economic stability.
Through the combination of policy reforms, local investment, and cross-border collaboration, the nation is positioning itself as a leader in Africa’s energy revolution.
As the government, regulators, and industry players align under the Renewed Hope Agenda, experts believe Nigeria’s refining future is brighter than ever — marking the beginning of a new era where the country not only produces crude but fully powers itself and its neighbours.
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