Nigerian Refineries Look to US Oil to Fill Domestic Supply Gap

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Nigerian modular refineries, facing an unreliable domestic crude oil supply, are exploring imports from the United States. This comes as investors hesitate to fund refinery projects without a guaranteed source of crude.

The newly built Dangote refinery is already using US oil for a portion of its needs, citing competitive pricing. Modular refinery operators are looking to secure long-term supply agreements to diversify their crude sources.

Nigeria has a large number of licensed modular refineries, but their operation has been limited by a lack of consistent crude oil supplies. The government plans to implement a program to mediate agreements between refiners and domestic producers, but details on the specific quantities of crude each refinery will receive are still being finalized.

Source: Business Day

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