Local refineries fuel supply may soon overtake imports as CORAN says Nigeria has enough refining capacity if crude feedstock issues are resolved

Domestic refineries on Tuesday declared that they have the capacity to supply more fuel into the local market this year than importers did in 2025, signalling a potentially decisive shift in Nigeria’s downstream petroleum sector.

Also read: Modular refineries join Dangote as local fuel production rises in Nigeria

The Crude Oil Refiners Association of Nigeria said its members, including the Dangote Petroleum Refinery, are positioned to meet Nigeria’s fuel demand without recourse to importation, provided longstanding feedstock challenges are addressed.

The claim comes against the backdrop of official data showing that petrol imports still dominated consumption in 2025.

Figures from the Nigerian Midstream and Downstream Petroleum Regulatory Authority revealed that total Premium Motor Spirit consumption stood at about 18.97 billion litres, with imports accounting for 62.47 per cent.

Despite the gradual ramp up of the 650,000 barrels per day Dangote refinery, oil marketing companies imported about 11.85 billion litres of petrol last year, while domestic refineries supplied roughly 7.54 billion litres, representing 37.53 per cent of total consumption.

Reacting to the data, CORAN Publicity Secretary, Eche Idoko, said the report merely confirmed what refiners had repeatedly stated, stressing that output was constrained not by capacity but by inadequate crude oil supply.

According to him, local refineries fuel supply could far exceed current levels if feedstock availability improves, noting that the Dangote refinery alone now produces about 50 million litres of petrol daily.

Idoko explained that several modular refineries are operating well below capacity or have shut down intermittently due to crude shortages.

He cited examples where plants with installed capacities of 10,000 barrels per day produce barely 10 per cent of their potential.

He added that even large facilities have faced similar challenges, with the Dangote refinery at times operating below optimal levels because of crude constraints rather than technical limitations.

The CORAN spokesperson expressed optimism that domestic production would surpass imports in 2026, arguing that Nigeria’s peak daily petrol consumption of about 54 million litres is already within reach of local producers.

He maintained that with adequate crude supply, modular refineries could quickly scale up operations, positioning the sector to dominate the market and reduce reliance on foreign fuel.

Idoko also raised concerns about financing, saying many refinery projects have slowed because investors demand assurances of crude availability.

He urged the government to establish a refinery infrastructure development fund, similar to existing gas sector incentives.

On data transparency, he called on the regulator to rely on independent surveys of refinery output rather than truck out figures alone, insisting that accurate stock assessment would present a clearer picture of domestic supply capacity.

Meanwhile, sources at the Dangote refinery said the facility currently has enough petrol to meet local demand while exporting to other markets, provided regulatory processes are fair and consistent.

Also read: Aliko Dangote rejects buying refineries, expands plant

The refinery’s management recently confirmed that night time loading operations have commenced to sustain daily supply above 50 million litres nationwide, reinforcing confidence in local refineries fuel supply as Nigeria moves towards energy self sufficiency.