Nigerian National Petroleum Company (NNPC) Limited has increased crude oil allocation to the Dangote Refinery, raising supply to seven cargoes for May in a move aimed at improving local refining capacity.
Gatekeeepers News reports that the new allocation represents an increase from the five cargoes previously supplied to the refinery in recent months.
A senior source at the national oil company confirmed the development, noting that efforts are underway to boost crude availability to the refinery.
“We are focused on increasing allocation crude oil supply to Dangote,” the source said.
The adjustment comes amid concerns over insufficient crude supply to the refinery, which is expected to receive between 13 and 15 cargoes monthly under the crude-for-naira arrangement but has been operating with significantly lower volumes.
Industry reports indicate that while the increase to seven cargoes will not fully meet the refinery’s needs, it offers some relief and could reduce reliance on more expensive imported crude.
The Dangote refinery, with a capacity of about 650,000 barrels per day, has faced ongoing challenges securing adequate domestic crude supply, forcing it at times to source oil from international markets at higher costs.
Experts say the higher allocation may also affect Nigeria’s crude export volumes, especially as global supply tightens and buyers compete for available cargoes.
Despite the increase, negotiations are said to be ongoing between both parties for additional volumes to help the refinery operate closer to its full capacity.
