Recent reports had suggested that the national oil company raised the refinery’s May allocation to seven cargoes in a move aimed at boosting domestic fuel production. However, senior officials within the Dangote Group, speaking on condition of anonymity, said ongoing discussions with NNPC have not confirmed any increase beyond current supply levels.
According to refinery sources, the expected allocation for May stands at approximately 6.15 million barrels—equivalent to about six cargoes—contradicting claims of a seven-cargo supply. This remains significantly below the refinery’s monthly requirement of nearly 19.77 million barrels, highlighting persistent supply constraints.
The 650,000-barrel-per-day facility has consistently struggled to secure sufficient crude locally, receiving between four and six cargoes monthly in recent periods. Officials noted that the shortfall has forced the refinery to rely heavily on imported crude, often at higher costs.
The supply gap has also contributed to rising fuel prices. Amid ongoing global oil market disruptions linked to tensions in the Middle East, including concerns around the Strait of Hormuz, the refinery has increased petrol prices to above ₦1,200 per litre. It has defended the hikes, citing high crude acquisition costs and limited domestic supply.
In earlier statements, the refinery accused local upstream producers of failing to meet supply obligations under the Petroleum Industry Act, adding that even crude sourced from NNPC is priced at international market rates with additional premiums.
On its part, NNPC Limited has maintained that it is working to improve supply to the refinery. Officials said the company is leveraging its global trading network to secure third-party crude at competitive prices, while reaffirming its commitment to supporting local refining capacity despite temporary constraints.
Energy analysts have suggested policy interventions to ease the pressure. Economist Bismarck Rewane recommended that the Federal Government consider selling crude to the refinery at a fixed price, with safeguards to prevent further increases in fuel costs.
The Dangote refinery, one of the largest in the world, is increasingly seen as critical to Nigeria’s energy security, with several countries already depending on it for refined products such as aviation fuel and diesel amid tightening global supply.