NUPRC: Dangote Refinery Received 98% of Crude Offered to Local Refiners in Q2

Nigeria's domestic crude oil supply obligations saw a significant improvement in the second quarter of 2026, with local refiners receiving 53.7 million barrels of crude oil and condensate. The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) announced a performance rate of 97.4% for the period, indicating a robust implementation of the Domestic Crude Supply Obligation (DCSO).

Data released by the NUPRC reveals that the Dangote Refinery was the primary recipient of the crude supplied, accounting for about 98% of the total volume offered to domestic refiners. The refinery required 63 million barrels during the quarter and accepted 52.6 million barrels, representing 77% of what was offered to it and falling 10.4 million barrels short of its stated needs. This intake constituted approximately 98% of the total 53.7 million barrels eventually supplied to all local refiners.

Producers demonstrated a willingness to supply, offering 69.3 million barrels between April and June, which exceeded their allocated volume of 55.1 million barrels by 14.2 million barrels, or 25.8%. However, actual supplies reached 53.7 million barrels, leaving about 15.6 million barrels of the offered volumes unutilized and slightly below the total allocated volume.

The DCSO, enforced under the Petroleum Industry Act (PIA), mandates oil producers to make crude available to domestic refineries. The framework involves monthly consultations between producers and refineries, leading to allocated volumes. Transactions, however, operate on a "willing buyer, willing seller" principle, influencing the final quantities purchased and received.