Nigerian Producers Offer 58.8M Barrels to Refineries

Producers in Nigeria have offered local refineries a total of 58.8 million barrels of crude oil for the second quarter of 2026, surpassing the official allocation of 55.1 million barrels by 3.7 million barrels. This offer is part of a regulatory framework aimed at ensuring a steady supply of feedstock to domestic processing plants, as reported by the Nigerian Upstream Petroleum Regulatory Commission.

The increase in offered volumes indicates a stronger commitment from upstream oil companies to meet local refining demands, particularly as Dangote Petroleum Refinery and other modular refineries expand their capacities. However, challenges such as crude grade mismatches and price disputes between buyers and sellers continue to hinder refinery utilization in Nigeria.

The regulatory commission plans to hold a roundtable discussion with stakeholders to address these concerns and improve the commercial terms for local refineries, which are currently at a disadvantage compared to international sources.