Dangote refinery faces crude supply shortfall, says CEO
David Bird, CEO of Dangote Refinery, has revealed that the refinery is not receiving the agreed amount of crude oil under the Federal Government’s crude-for-naira deal. He stated that the facility currently gets only about five cargoes monthly instead of the expected 13 to 15. This shortfall has forced the refinery to buy Nigerian crude at higher prices from the international market. Bird emphasized that the crude-for-naira policy aims to stabilize Nigeria’s foreign exchange, not to benefit the refinery.
What we know
- David Bird said Dangote Refinery receives only five crude cargoes monthly, far below the expected 13 to 15.
- The shortfall affects the refinery’s ability to optimize local crude supply and meet domestic fuel needs.
- The refinery is forced to source preferred Nigerian crude grades internationally at a premium.
- Bird clarified that the crude-for-naira policy is designed to support Nigeria’s foreign exchange market, not provide financial advantages to the refinery.
- Despite supply issues, the refinery operates at its full installed capacity of 650,000 barrels per day and supplies both domestic and regional markets.
