• About Us
    • Àtẹ́lẹwọ́ Podcast
  • Contact
  • Cookie Policy
  • Disclaimer
  • Privacy Policy
  • Sitemap
Freelanews
Advertisement
  • Home
  • News
    • Crime
  • Business
  • Brands
  • Banking
  • Opinion
  • Interview
  • Entertainment
  • Podcast
    • Àtẹ́lẹwọ́
  • Sports
  • Events
No Result
View All Result
  • Home
  • News
    • Crime
  • Business
  • Brands
  • Banking
  • Opinion
  • Interview
  • Entertainment
  • Podcast
    • Àtẹ́lẹwọ́
  • Sports
  • Events
No Result
View All Result
Freelanews
No Result
View All Result
Home Business & Finance Business

Dangote Refinery uses local crude In historic shift from foreign oil reliance

Oreoluwa Ojelabi by Oreoluwa Ojelabi
July 9, 2025
in Business
0 0
0
Dangote refinery uses local crude

Dangote refinery uses local crude to replace foreign oil, aiming for 100% Nigerian supply by 2025, marking a historic energy transition in Africa’s largest refinery

[dropcap]D[/dropcap]angote refinery uses local crude in a game-changing move that could redefine Nigeria’s energy landscape.

Also read: Dangote petrol price reduction offers emotional relief amid economic strain

By the end of 2025, Africa’s largest refinery is expected to rely entirely on Nigerian crude oil. This development signals a sharp turn from decades of foreign oil dependence.

The \$20 billion Dangote Refinery, located in Lagos, has a capacity of 650,000 barrels per day. While it has yet to reach full capacity, it is already processing 550,000 barrels daily.

The company disclosed that 53% of June’s crude supply came from Nigerian producers, while the remaining 47% came from abroad, including the United States.

perfect aesthetic dental clinic perfect aesthetic dental clinic perfect aesthetic dental clinic

Vice President of Dangote Industries, Devakumar Edwin, told Bloomberg that full transition to domestic crude could happen before 2026.

“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% to local crude,” Edwin said.

He acknowledged that this shift demands a substantial increase in domestic oil production. However, confidence remains high that the supply gap will close.

“Improved sourcing from within Nigeria is crucial, especially as the oil sector has faced challenges,” he explained.

The refinery’s original mission was to solve one of Nigeria’s longest-standing inefficiencies: exporting crude only to import expensive refined products.

For decades, the country’s reliance on foreign refineries drained public resources and fuelled corruption. The operation of the Dangote Refinery now represents a bold solution to that problem.

Initial operations relied heavily on foreign crude sources due to local supply limitations. Countries like Brazil, Angola, Ghana and Equatorial Guinea had all contributed to the early feedstock of the refinery.

But that is beginning to change. A coordinated effort between the refinery, local oil traders and the federal government has improved the availability of Nigerian crude.

Still, several obstacles remain. Many oil majors have exited Nigeria’s onshore and shallow water assets, passing them on to smaller domestic firms.

These companies often lack the infrastructure to match international output levels. Moreover, crude oil theft and pipeline vandalism persist, especially in the Niger Delta. These issues continue to restrict the volume of oil available for domestic refining.

Despite these difficulties, progress is evident. Nigeria’s state oil company has committed to supplying Dangote with five crude cargoes in July and another five in August.

Each of these shipments carries about one million barrels. These consistent deliveries are expected to boost confidence in local supply chains.

For a country long plagued by fuel scarcity and high import bills, this transition could be a turning point. Industry analysts see the refinery as not just a business venture but a strategic asset capable of shifting the dynamics of African energy economics.

The gradual ramp-up of the plant has already made Nigeria a net exporter of refined petroleum products, according to industry reports.

This development is expected to ease the pressure on the country’s foreign exchange reserves, as import dependence steadily declines.

Edwin concluded with cautious optimism. “That still requires a significant increase of local oil over the coming months,” he said. But the goal remains firm.

By relying solely on Nigerian crude, the Dangote Refinery aims to showcase the viability of homegrown solutions to national challenges.

Also read: Dangote crude oil deal tops N219bn despite supply suspension, pricing concerns

Dangote refinery uses local crude not only to refine fuel but also to refine Nigeria’s energy future. With steady supply and firm commitment, the refinery could mark the end of Nigeria’s crude-export-refined-import cycle, ushering in a new era of industrial self-sufficiency.

oreoluwa ojelabi brand writer
Oreoluwa Ojelabi

Oreoluwa is an accountant and a brand writer with a flair for journalism.

Related Posts

Zenith Bank named 'Best Bank in Nigeria' by global finance for fifth time
Business

Breaking: Zenith Bank enhances services after infrastructure upgrades

by Rtn. Victor Ojelabi
October 3, 2024
Dangote
Business

Dangote Refinery purchases Nigerian crude at global market rates — CEO

by Quadri Olaitan
March 10, 2026
quotes 55
Business

‘Uncertain times’ Stanbic IBTC advises Nigerians on ways to invest

by Freelanews
July 25, 2021
Business

Chevron insists on selling 2 offshore blocs in Nigeria

by Freelanews
November 30, 2019
WAMCO
Business

FrieslandCampina WAMCO declares N324.7bln revenue at 50th AGM

by Rtn. Victor Ojelabi
May 11, 2023

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

ADVERTISEMENT

Recent News

US crude

US crude imports from Nigeria fall 15% in 2026

May 10, 2026
Osun

Osun Egungun dispute turns deadly over N8,000

May 10, 2026
Edo

Edo APC rakes In ₦504m from assembly forms

May 10, 2026
Lagos

Lagos plans tough electricity tariff hike

May 10, 2026
  • Trending
  • Comments
  • Latest
N250k signature

Abiodun vs Amosun: N250k signature plot deepens Ogun political crisis ahead Tinubu visit

April 3, 2026
Omoge Saida

Omoge Saida sparks Nigerian social media over leaked video

October 28, 2025
james akaie

Nollywood SFX makeup artist James Akaie allegedly dies after explosion on Abeokuta movie set

January 13, 2026
Political persecution in Ogun State

Political persecution in Ogun State: Abiodun moves against Otunba Gbenga Daniel with demolition threats again

August 9, 2025
amoke

‘Meals by Amoke’ We serve traditional dishes in a modern way, Bukoye Fasola reveals

19
Image 2024 03 26 at 120645 AM jpeg

Charles Inojie, Ali Nuhu call on communities to #MakeWeHalla against domestic violence

11
Meran Primary Health Centre Lagos father Meran hospital

Lagos father shares heartbreaking experience at Meran Primary Health Centre (Photos)

4
fls2

‘Disarticulated system’ Gov’t confused about Nigerian education, expert laments

3
US crude

US crude imports from Nigeria fall 15% in 2026

May 10, 2026
Osun

Osun Egungun dispute turns deadly over N8,000

May 10, 2026
Edo

Edo APC rakes In ₦504m from assembly forms

May 10, 2026
Lagos

Lagos plans tough electricity tariff hike

May 10, 2026
May 2026
SMTWTFS
 12
3456789
10111213141516
17181920212223
24252627282930
31 
« Apr    
Freelanews

Freelanews is a Nigerian digital news platform that delivers timely, credible, and engaging stories across politics, business, entertainment, lifestyle, and the creative industry, with a strong focus on promoting innovation, integrity, and inclusivity in storytelling.

Today’s Popular

  • Cindy Oshodi

    TikToker Cindy Oshodi faces backlash over leaked clip

    0 shares
    Share 0 Tweet 0
  • Chief Julius Johnson-Agiri laid to rest in grand royal style at 88

    0 shares
    Share 0 Tweet 0
  • Shocking twist: Dapo Abiodun senate ambition in jeopardy as fresh legal warning emerges

    0 shares
    Share 0 Tweet 0
  • ‘…Paint my name black’: Ugo’s estranged wife fires back amid explosive cheating allegations

    0 shares
    Share 0 Tweet 0

Just Published!

US crude

US crude imports from Nigeria fall 15% in 2026

May 10, 2026
Osun

Osun Egungun dispute turns deadly over N8,000

May 10, 2026
Edo

Edo APC rakes In ₦504m from assembly forms

May 10, 2026
Lagos

Lagos plans tough electricity tariff hike

May 10, 2026
Titilola

Titilola Ajayi raises concerns over Nollywood stories

May 10, 2026
No Result
View All Result
  • About Us
  • Contact
  • Advertisement
  • Sitemap

© 2025 Freelanews | by Iretura.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • Home
  • News
    • Crime
  • Business
  • Brands
  • Banking
  • Opinion
  • Interview
  • Entertainment
  • Podcast
    • Àtẹ́lẹwọ́
  • Sports
  • Events

© 2025 Freelanews | by Iretura.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.