Nigeria Imports 245m Litres of Diesel as Modular Refineries Struggle to Meet Demand

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Nigeria imported 244.9 million litres of diesel in July 2026 as modular refineries struggled to significantly increase their contribution to the country’s fuel supply. Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority showed that modular refineries supplied just 18.35 million litres of automotive gas oil, commonly known as diesel, during the month.

The NMDPRA data showed that Nigeria received about 731.6 million litres of diesel in July, averaging 23.6 million litres daily. Domestic refineries, including the Dangote refinery and other producers, supplied 486.7 million litres, while imports by oil marketing companies accounted for the remaining 244.9 million litres, meaning imported diesel made up roughly one-third of total supplies.

The performance of the modular refineries remained particularly low. WalterSmith recorded the highest daily average output at 341,000 litres, with a capacity utilisation rate of 70.42 per cent. Aradel supplied 144,000 litres daily, while Edo Refinery averaged 107,000 litres and recorded the highest capacity utilisation among the listed operating modular refineries at 95.72 per cent. OPAC, however, produced only 7,000 litres daily, with capacity utilisation at 0.86 per cent, while Duport Refinery was shut down during the month.

The figures also revealed continued challenges across Nigeria’s refining sector, as the three refineries operated by the Nigerian National Petroleum Company Limited recorded no production in July. The Port Harcourt Refining Company remained shut down, while the Warri and Kaduna refineries were listed as not producing, leaving domestic diesel supply heavily dependent on other refineries and imports.

Industry operators, however, argue that modular refineries could contribute much more if they have adequate access to crude oil. The Crude Oil Refiners Association of Nigeria said modular refineries have the capacity to meet between 10 and 15 per cent of Nigeria’s current diesel needs if sufficient feedstock is available. CORAN Publicity Secretary, Eche Idoko, said the association had repeatedly called for the naira-for-crude arrangement to be extended to modular refineries, arguing that access to crude would allow them to operate closer to their installed capacity.

source: punch 

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