• About Us
    • Àtẹ́lẹwọ́ Podcast
  • Contact
  • Cookie Policy
  • Disclaimer
  • Privacy Policy
  • Sitemap
Freelanews
Advertisement
  • Home
  • News
    • Crime
  • Business
  • Brands
  • Banking
  • Opinion
  • Interview
  • Entertainment
  • Podcast
    • Àtẹ́lẹwọ́
  • Sports
  • Events
No Result
View All Result
  • Home
  • News
    • Crime
  • Business
  • Brands
  • Banking
  • Opinion
  • Interview
  • Entertainment
  • Podcast
    • Àtẹ́lẹwọ́
  • Sports
  • Events
No Result
View All Result
Freelanews
No Result
View All Result
Home Business & Finance Business

Dangote Refinery uses local crude In historic shift from foreign oil reliance

Oreoluwa Ojelabi by Oreoluwa Ojelabi
July 9, 2025
in Business
0 0
0
Dangote refinery uses local crude

Dangote refinery uses local crude to replace foreign oil, aiming for 100% Nigerian supply by 2025, marking a historic energy transition in Africa’s largest refinery

[dropcap]D[/dropcap]angote refinery uses local crude in a game-changing move that could redefine Nigeria’s energy landscape.

Also read: Dangote petrol price reduction offers emotional relief amid economic strain

By the end of 2025, Africa’s largest refinery is expected to rely entirely on Nigerian crude oil. This development signals a sharp turn from decades of foreign oil dependence.

The \$20 billion Dangote Refinery, located in Lagos, has a capacity of 650,000 barrels per day. While it has yet to reach full capacity, it is already processing 550,000 barrels daily.

The company disclosed that 53% of June’s crude supply came from Nigerian producers, while the remaining 47% came from abroad, including the United States.

perfect aesthetic dental clinic perfect aesthetic dental clinic perfect aesthetic dental clinic

Vice President of Dangote Industries, Devakumar Edwin, told Bloomberg that full transition to domestic crude could happen before 2026.

“We expect some of the long-term contracts will expire. Personally, and as a company, we expect that before the end of the year we can transition 100% to local crude,” Edwin said.

He acknowledged that this shift demands a substantial increase in domestic oil production. However, confidence remains high that the supply gap will close.

“Improved sourcing from within Nigeria is crucial, especially as the oil sector has faced challenges,” he explained.

The refinery’s original mission was to solve one of Nigeria’s longest-standing inefficiencies: exporting crude only to import expensive refined products.

For decades, the country’s reliance on foreign refineries drained public resources and fuelled corruption. The operation of the Dangote Refinery now represents a bold solution to that problem.

Initial operations relied heavily on foreign crude sources due to local supply limitations. Countries like Brazil, Angola, Ghana and Equatorial Guinea had all contributed to the early feedstock of the refinery.

But that is beginning to change. A coordinated effort between the refinery, local oil traders and the federal government has improved the availability of Nigerian crude.

Still, several obstacles remain. Many oil majors have exited Nigeria’s onshore and shallow water assets, passing them on to smaller domestic firms.

These companies often lack the infrastructure to match international output levels. Moreover, crude oil theft and pipeline vandalism persist, especially in the Niger Delta. These issues continue to restrict the volume of oil available for domestic refining.

Despite these difficulties, progress is evident. Nigeria’s state oil company has committed to supplying Dangote with five crude cargoes in July and another five in August.

Each of these shipments carries about one million barrels. These consistent deliveries are expected to boost confidence in local supply chains.

For a country long plagued by fuel scarcity and high import bills, this transition could be a turning point. Industry analysts see the refinery as not just a business venture but a strategic asset capable of shifting the dynamics of African energy economics.

The gradual ramp-up of the plant has already made Nigeria a net exporter of refined petroleum products, according to industry reports.

This development is expected to ease the pressure on the country’s foreign exchange reserves, as import dependence steadily declines.

Edwin concluded with cautious optimism. “That still requires a significant increase of local oil over the coming months,” he said. But the goal remains firm.

By relying solely on Nigerian crude, the Dangote Refinery aims to showcase the viability of homegrown solutions to national challenges.

Also read: Dangote crude oil deal tops N219bn despite supply suspension, pricing concerns

Dangote refinery uses local crude not only to refine fuel but also to refine Nigeria’s energy future. With steady supply and firm commitment, the refinery could mark the end of Nigeria’s crude-export-refined-import cycle, ushering in a new era of industrial self-sufficiency.

oreoluwa ojelabi brand writer
Oreoluwa Ojelabi

Oreoluwa is an accountant and a brand writer with a flair for journalism.

Related Posts

Content marketing industry growth
Business

Content marketing industry growth surges toward $2 trillion future

by Peculiar Adirika
August 29, 2025
she9a8f981t
Business

‘Controversy’ Why I left Alaafin’s palace, Olori Badirat reveals

by Rtn. Victor Ojelabi
December 8, 2020
Adron Homes celebrates Nigeria at 65
Events

Adron Homes celebrates Nigeria at 65, reaffirms commitment

by David Okere
October 1, 2025
Nigeria China partnership
News

Nigeria China partnership deepens on Democracy Day with focus on sustainable growth

by Peculiar Adirika
June 12, 2025
government
Business

Nigeria government borrowing surges, worsening credit crunch

by Peculiar Adirika
January 30, 2026

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

ADVERTISEMENT

Recent News

CAN

CAN declares national mourning over insecurity

June 3, 2026
Adeboye

Eliminate terrorists within 90 days or step down, Adeboye tells security chiefs

June 3, 2026
Ivy Ifeoma

I was already a millionaire before meeting Paul Okoye — Ivy Ifeoma

June 3, 2026
Shettima

Shettima urges states to unlock $750m SABER fund

June 3, 2026
  • Trending
  • Comments
  • Latest
N250k signature

Abiodun vs Amosun: N250k signature plot deepens Ogun political crisis ahead Tinubu visit

April 3, 2026
Omoge Saida

Omoge Saida sparks Nigerian social media over leaked video

October 28, 2025
james akaie

Nollywood SFX makeup artist James Akaie allegedly dies after explosion on Abeokuta movie set

January 13, 2026
Political persecution in Ogun State

Political persecution in Ogun State: Abiodun moves against Otunba Gbenga Daniel with demolition threats again

August 9, 2025
amoke

‘Meals by Amoke’ We serve traditional dishes in a modern way, Bukoye Fasola reveals

19
Image 2024 03 26 at 120645 AM jpeg

Charles Inojie, Ali Nuhu call on communities to #MakeWeHalla against domestic violence

11
Meran Primary Health Centre Lagos father Meran hospital

Lagos father shares heartbreaking experience at Meran Primary Health Centre (Photos)

4
fls2

‘Disarticulated system’ Gov’t confused about Nigerian education, expert laments

3
CAN

CAN declares national mourning over insecurity

June 3, 2026
Adeboye

Eliminate terrorists within 90 days or step down, Adeboye tells security chiefs

June 3, 2026
Ivy Ifeoma

I was already a millionaire before meeting Paul Okoye — Ivy Ifeoma

June 3, 2026
Shettima

Shettima urges states to unlock $750m SABER fund

June 3, 2026
June 2026
SMTWTFS
 123456
78910111213
14151617181920
21222324252627
282930 
« May    
Freelanews

Freelanews is a Nigerian digital news platform that delivers timely, credible, and engaging stories across politics, business, entertainment, lifestyle, and the creative industry, with a strong focus on promoting innovation, integrity, and inclusivity in storytelling.

Today’s Popular

  • Yinka Alaseyori

    Yinka Alaseyori under fire after comments on Tinubu and insecurity

    0 shares
    Share 0 Tweet 0
  • Adeboye, RCCG fire back against false allegations

    0 shares
    Share 0 Tweet 0
  • EFCC declares Emeka Iheanacho wanted in serious probe

    0 shares
    Share 0 Tweet 0
  • Tragedy hits Yoruba film industry as Adeshina Okiki Janmole dies

    0 shares
    Share 0 Tweet 0

Just Published!

CAN

CAN declares national mourning over insecurity

June 3, 2026
Adeboye

Eliminate terrorists within 90 days or step down, Adeboye tells security chiefs

June 3, 2026
Ivy Ifeoma

I was already a millionaire before meeting Paul Okoye — Ivy Ifeoma

June 3, 2026
Shettima

Shettima urges states to unlock $750m SABER fund

June 3, 2026
EFCC

EFCC declares three wanted over alleged fraud

June 3, 2026
No Result
View All Result
  • About Us
  • Contact
  • Advertisement
  • Sitemap

© 2025 Freelanews | by Iretura.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • Home
  • News
    • Crime
  • Business
  • Brands
  • Banking
  • Opinion
  • Interview
  • Entertainment
  • Podcast
    • Àtẹ́lẹwọ́
  • Sports
  • Events

© 2025 Freelanews | by Iretura.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.