Dozens die in Nigeria oil theft attempt after inhaling toxic fumes

An attempt to steal oil from a loading vessel in Nigeria’s oil-producing Rivers state left at least 37 people dead, most of them from inhaling toxic fumes, an advocacy group said Friday.

The Youths and Environmental Advocacy Center said the victims were simultaneously siphoning crude products into their boats from an “illegal tapping point” on Thursday. It caused them to inhale toxic fumes at high pressure, it said. Many are still missing, according to the report, quoting a network of volunteers.

The Nigerian police confirmed the incident on Friday but gave no death toll and said an investigation was underway.

“The Rivers State Police Command can confirm the deaths. The victims were allegedly attempting to steal crude oil,” Blessing Agabe, Rivers State police spokesperson, said.

Oil theft is common in the Niger Delta region of Nigeria, Africa’s biggest oil producer, where decades of oil exploration have led to high levels of poverty and environmental degradation.

The Nigerian government said oil theft causes several billion dollars in losses annually and has been clamping down on the practice.

By Dyepkazah Shibayan, AP

Video - Fuel subsidies emerge as key issue ahead of Nigeria's elections

Petrol subsidies have become a major campaign issue in Nigeria ahead of January's general elections, with candidates divided over how to address the country's cost-of-living pressures. President Bola Tinubu's government removed the subsidy in 2023, triggering a sharp rise in fuel prices and broader economic challenges. Former Vice President Atiku Abubakar, who is seeking the presidency, says he would restore the subsidy if elected.

CGTN Africa

Nigeria's oil refining just grew 43.94% and Aliko Dangote is the only reason

Nigeria's oil refining sector grew 43.94% in the second quarter, its strongest quarterly expansion on record and close to ten times the pace of the wider economy.

The figure comes from the National Bureau of Statistics, which published its second-quarter gross domestic product report on Monday, Aug. 31. The release covers rebased quarterly estimates for the four quarters of 2025 and the first two of 2026. Rebasing updates the reference year a statistics agency uses to measure the size of an economy, which changes the comparison but gives a more current picture of what the country actually produces.

Nigeria's overall GDP grew 4.43% over the same period. Refining grew at almost ten times that rate.

Aliko Dangote's refinery is the reason. Maintenance and expansion work completed in February lifted its crude distillation capacity from 650,000 barrels a day to 700,000, above the plant's original nameplate figure, and the additional throughput has fed straight into the national accounts.

The scale of what it consumes shows in the crude allocation numbers. Domestic supply to Nigerian refineries reached 97.4% of requirement in the second quarter, with 53.7 million barrels delivered between April and June, according to the Nigerian Upstream Petroleum Regulatory Commission. Dangote alone required 63 million barrels. Producers offered it 68.1 million, and the refinery accepted 52.6 million, roughly 78% of what was put in front of it.

That is a transformation from the first quarter, when just 28.5 million barrels reached all domestic refineries combined despite 61.9 million being allocated and 68.7 million offered.

The refining acceleration has been building. Growth ran at 37.46% in the first quarter of 2025 and 43.94% in the second quarter of 2026, well above the 19.42% and 12.33% recorded in the third and fourth quarters of 2024 under the rebased series, when full-year growth was 14.08%.

The rest of the oil sector moved more modestly. Crude production averaged 1.72 million barrels a day in the second quarter, up from 1.68 million a year earlier and 1.55 million in the first quarter. The oil sector as a whole grew 7.31% year on year, down sharply from 20.46% in the same quarter of 2025 but well ahead of the 2.57% recorded in the first quarter, and expanded 10.91% against the previous quarter. Its share of real GDP rose to 4.16% from 4.05% a year earlier.

The non-oil economy grew 4.31% and still accounts for 95.84% of output.

What the refining growth is producing is exports rather than import substitution alone. Nigeria's seaborne petroleum product exports reached 350,000 barrels a day in the second quarter, against an annual average of 46,000 in 2023, according to the United States Energy Information Administration. Total seaborne shipments averaged 561,000 barrels a day. Europe took about 130,000 barrels a day, up from 40,000 in 2025 and 15,000 in 2023. Other African markets took nearly 120,000, and Asia and Oceania around 110,000.

The refinery's own position is that too much of the domestic market remains closed to it. It told the market last week that imported petrol supplied about 43% of Nigerian demand in July under licences issued by the regulator, and that surplus product has to be exported because it cannot be sold at home.

By Adedotun Elijah Oyeniyi, Billionaires Africa

Video - Nigeria subsidy debate returns ahead of elections

As Nigeria prepares for general elections in January 2027, petrol subsidies have emerged as a key campaign issue. President Bola Tinubu’s government scrapped the subsidy in 2023, triggering a sharp rise in fuel prices. Former Vice President Atiku Abubakar has now pledged to reinstate petrol subsidies if elected president.

CGTN Africa

Africa’s largest refinery faces fresh challenge at home as Dangote threatens to cut off petrol importers

Dangote Petroleum Refinery is considering restricting Premium Motor Spirit (PMS) sales to major Nigerian marketers that continue to import petrol, as the refinery raises concerns over product quality, market transparency and the protection of its brand.

The proposed measure could take effect as early as this week, subject to further consultations and any last-minute intervention, according to sources familiar with the refinery’s position.

The potential restriction comes as Nigeria’s downstream petroleum market undergoes a major shift from decades of dependence on imported refined products towards increased domestic production.

At the centre of Dangote Refinery’s concerns is the alleged blending of imported petrol with products purchased from the refinery before the mixture is distributed to consumers.

The refinery is concerned that if imported PMS of uncertain quality is mixed with its products, consumers may be unable to distinguish between fuel supplied directly by Dangote and products subsequently blended or handled by marketers.

The Punch reported that a source familiar with the refinery’s position said, “It is difficult to understand why we would invest heavily in producing high-quality petroleum products for Nigerians, only for those products to be mixed with imported products of uncertain quality and the resulting product to be associated with the refinery.”.

Dangote challenges continued petrol imports

The refinery has also raised concerns about Nigeria’s ability to independently test and certify imported petroleum products.

The Punch further reported that sources familiar with the refinery’s position said the regulator lacks a standard laboratory and sufficient quality-control infrastructure to independently verify the specifications of some imported petroleum products

That concern has become more significant as Dangote’s 700,000-barrel-per-day refinery has expanded domestic production and emerged as a major supplier of refined products in Nigeria and international markets.

The refinery’s position reflects a broader argument that continued petrol imports are becoming increasingly difficult to justify as Nigeria develops substantial domestic refining capacity.

The United States Energy Information Administration recently highlighted the transformation in Nigeria’s refined-product trade, identifying the Dangote refinery as a major contributor to the country's rising seaborne petroleum-product exports.

Nigeria’s seaborne petroleum-product shipments averaged about 561,000 barrels per day in the second quarter of 2026, compared with an annual average of just 79,000 barrels per day in 2023.

The development underscores how rapidly Nigeria’s role in the international refined-products market has changed since the Dangote refinery began ramping up operations.

The refinery has also gained a growing presence in international aviation-fuel markets. Its jet fuel has been supplied to major overseas markets, including Europe and the US, where its exports have become increasingly significant.

For Dangote, the dispute is therefore not simply about controlling who buys its petrol. It is also about protecting the reputation of products carrying the refinery’s name at a time when it is seeking to establish Nigerian refined petroleum products as a competitive alternative to imports.

Any decision to restrict supplies to marketers that continue importing PMS could further reshape Nigeria’s downstream market, putting additional pressure on major fuel distributors to choose between domestic supply and imported petrol.

It could also intensify the debate over whether Nigeria should continue allowing significant petrol imports while one of Africa’s largest refineries is operating at scale and increasingly supplying both domestic and international markets.

By Solomon Ekanem, Business Insider Africa

Dangote refinery boosts Nigeria’s petroleum product exports

The startup and incremental expansion of Dangote Group's integrated Lekki refinery has sharply increased Nigeria's refining capacity, supporting reduced imports and expanded exports to Europe and Africa, positioning Nigeria as a vital supplier amid global supply disruptions.

Nigeria’s seaborne petroleum product exports have surged since the startup and expansion of Dangote Industries Ltd. (Dangote Group) subsidiary Dangote Refinery and Petrochemicals Co.'s (DRPC) integrated refining and petrochemical complex in southwestern Nigeria’s Lekki Free Trade Zone, in Ibeju-Lekki, Lagos, increasing the country’s role as a regional and international supplier as refined-product markets face supply constraints elsewhere.

Nigeria’s seaborne petroleum product shipments averaged 561,000 b/d in the second quarter of 2026, up nearly sevenfold from an annual average of 79,000 b/d in 2023, according to data from Vortexa Analytics cited by the US Energy Information Administration (EIA). Exports accounted for about 350,000 b/d of the quarterly total, compared with 46,000 b/d in 2023.

The increase has been driven primarily by DPRC's complex, which began operations in January 2024 and has significantly expanded Nigeria’s domestic refining capacity. The refinery’s impact has become more pronounced following maintenance and expansion work completed in February 2026.

The February 2026 work increased DRPC’s crude distillation capacity to 700,000 b/d from 650,000 b/d. Higher refinery runs, combined with disruptions to petroleum product flows through the Strait of Hormuz, helped push Nigeria’s total seaborne product shipments higher during second-quarter 2026.

The increase in domestic refining has also reduced Nigeria’s dependence on imported petroleum products. Seaborne imports averaged less than 130,000 b/d in second-quarter 2026, down sharply from nearly 400,000 b/d in 2023.

At the same time, Intra-Nigerian shipments increased to 211,000 b/d in second-quarter 2026, compared with 81,000 b/d in 2025 and 33,000 b/d in 2023. The growing domestic distribution network has allowed Dangote to supply more products to parts of the country that previously depended on imports.

Before DRPC's complex came online, Nigeria’s existing state-owned refineries collectively shipped less than 100,000 b/d of petroleum products to domestic and international destinations, EIA said.

Europe, Africa as key markets

Nigeria’s rising product availability has also translated into higher exports to overseas markets.

Seaborne petroleum product exports from Nigeria to Europe averaged 130,000 b/d in second-quarter 2026, more than three times the 40,000 b/d recorded in 2025 and nearly nine times the 15,000 b/d average in 2023.

Exports to other African countries also increased, reaching nearly 120,000 b/d in second-quarter 2026, compared with 89,000 b/d in 2025.

The increase comes at a time when petroleum product supplies from several other regions have been constrained. Disruptions to flows through the Strait of Hormuz have added to the need for alternative sources of refined products, creating additional opportunities for Nigeria’s growing refining sector.

Dangote Group plans to expand the refinery further by adding a second 750,000-b/d crude distillation unit by 2028, which would substantially increase the complex’s potential contribution to Nigeria’s domestic market and international product trade.

By Conglin Xu, Oil & Gas Journal

As Nigeria's Dangote refinery nears record IPO, investors focus on oil supply costs

Nigeria's Dangote Refinery, the largest on the continent, is expected in October to seek to raise around $5 billion in ​Africa's biggest IPO listing yet, after months of strong earnings, boosted by the disruption caused by the Iran war.

For potential ‌investors, the question is whether Dangote, majority-owned by Africa's richest man, Aliko Dangote, can avoid squeezing its profits while sourcing enough crude oil for its plans to double capacity within three years, in part funded by the initial public offering.

"If Dangote’s only supplier of oil is Nigeria ... this does increase the risk of the ​refinery as an investment," Rob Thummel, senior portfolio manager at U.S.-based Tortoise Capital Management, said.

Dangote does not disclose its margins, ​but as a whole the refining industry has benefited from higher profits since the disruption in the Middle East increased ⁠demand for alternative sources of fuel.

Dangote was particularly well-placed to meet demand across Africa and beyond. A new, efficient refinery, it reached its ​initial maximum capacity of 650,000 barrels per day in February, just before U.S.-Israeli attacks launched the war on Iran.

The refinery has already tested ​production at 700,000 barrels per day.

It is also working on diversifying its sources of crude.

THE COMPLICATIONS OF BUYING NIGERIAN CRUDE

Ideally, Dangote would rely on domestic oil, especially when Nigeria, with output of 1.6 million bpd, is Africa's biggest producer.

The reality is that much of Nigeria's state oil firm the Nigerian National Petroleum Company Limited's ​joint‑venture crude is tied to oil-backed loans and pre‑export deals, reducing the amount it has available for Dangote.

The NNPC does not disclose its ​obligations, but David Bird, chief executive of the Dangote refinery, told Reuters imports account for about 30% to 40% of crude intake.

Dangote crude imports hit peak in May as supply sources diversify

Nigeria cemented its position as Dangote's main crude supplier this year, replacing declining U.S. volumes. At the same time, the refinery broadened its sourcing to include more barrels from Libya, Angola, Ghana, Guyana and Cameroon.

The problem is one of ‌economics as ⁠well as of availability.

"Challenges in accessing feedstock at competitive prices would increase costs and compress margins and utilisation rates, impacting the refinery's commercial performance and therefore its valuation," said Mikolaj Judson, analyst at risk consultancy Control Risks.

The crude Dangote buys from other African countries, as well as more distant producers, including the United States and Guyana, is priced in dollars.

Some domestic Nigerian crude is priced in naira, but is still ​expensive, Dangote says, as the NNPC ​prices Nigerian crude against international ⁠benchmarks such as Brent that include freight and logistics costs even though domestic refiners do not incur them.

Group Vice President of Dangote Industries Limited Edwin Devakumar told Reuters that certain Nigerian cargoes were more expensive ​than comparable imports without giving precise figures.

The grades Dangote has imported include U.S. WTI Midland crude, ​which has generally traded ⁠above Nigerian grade Bonny Light in 2026, according to S&P Global Energy Platts data.

Nigerian authorities say they are seeking to improve the flow of local crude.

Oritsemeyiwa Eyesan, chief executive of regulatory body the Nigerian Upstream Petroleum Regulatory Commission, said authorities were exploring a crude swap system that would match ⁠refiners with ​local producers to reduce delivery times and ease logistics.

Dangote's coastal location, meanwhile, gives it ​flexibility to import supplies.

"The main risk is the cost of importing these barrels," Wood Mackenzie analyst Alan Gelder said.

By Isaac Anyaogu, Reuters

From fighting terrorists to protecting oil, US-made hardware finds a new role in Africa's largest oil-producing nation

That role is now expanding, with American-made technology increasingly being used to protect Nigeria's oil infrastructure and maritime assets.

The latest example is a deal between US-based Textron Systems and Nigerian security company Tantita Security Services Nigeria Limited for the supply of Aerosonde Mk 4.7 unmanned aerial systems.

The aircraft will be integrated into Tantita's command-and-control centres to strengthen surveillance, intelligence gathering and maritime security operations around Nigeria's oil and gas infrastructure.

The development comes as Nigeria's oil industry shows signs of recovery after years of production losses linked to crude theft, pipeline vandalism and operational disruptions.

From counterterrorism to oil security

The shift is significant because it broadens the role of US-made security technology in Nigeria.

American defence equipment has been deployed in Nigeria's counterterrorism efforts, particularly as the country has battled Boko Haram, Islamic State West Africa Province and other armed groups in the northeast.

But the country's oil industry presents a different security challenge.

Nigeria's oil infrastructure stretches across the Niger Delta's creeks and waterways and into offshore areas, making it difficult to monitor through conventional patrols alone.

The Aerosonde Mk 4.7 gives security operators an aerial surveillance capability that can cover large areas and provide intelligence to command centres. Its vertical take-off and landing capability also allows it to operate without conventional runways.

For Tantita, the system can complement its existing maritime and physical security operations, giving personnel greater visibility over oil-producing areas and infrastructure.

Oil production is recovering

The deployment comes against the backdrop of improving oil production.

Nigeria's crude output reached 1.56 million barrels per day in June 2026, according to the Nigerian Upstream Petroleum Regulatory Commission, its highest level since April 2020. Including condensates, total production reached 1.735 million bpd.

Crude output had increased from 1.483 million bpd in February to 1.546 million bpd in March and 1.663 million bpd in April, before reaching 1.70 million bpd in May.

NUPRC attributed the improvement to stable production operations, fewer major pipeline outages, better production uptime and improved crude evacuation.

The regulator has also highlighted the contribution of security and technology to the broader recovery.

At the company level, businessman Tony Elumelu, founder of Heirs Energies, recently said his company now recovers 98% of the crude produced from its facilities, a significant improvement from the losses previously suffered by operators in the region.

The figures cannot be attributed directly to the Textron-Tantita deal, which was announced in December 2025. Instead, they show the wider environment in which the US technology is being deployed.

Nigeria is increasingly combining physical security, intelligence, surveillance and technology to protect the crude it produces.

For the US, that creates a role beyond traditional military cooperation. American-made systems are becoming part of Nigeria's effort to protect a strategic economic asset and increase the amount of oil that reaches the formal production and export chain.

The shift effectively takes US-Nigeria security cooperation from the battlefield to the oilfield, with American technology now playing a growing role in protecting the infrastructure that underpins Nigeria's economy.

By Solomon Ekanem, Business Insider Africa

Dangote Refinery secures $1 billion underwriting ahead of IPO

 

Nigeria's Dangote Refinery has secured ‌a $1 billion underwriting programme for its planned stock market listing that could become Africa's largest IPO, marking a major step toward bringing the continent's biggest refinery to investors.

The underwriting comprises a fully funded $600 million tranche for the refinery's completed private placement and ​a further $400 million commitment to support the planned initial public offering, the deal's co-financial advisers Marob ​Strategies and Lilium Capital said on Tuesday.

Dubai-based advisory firm Marob and Washington-based investment group ⁠Lilium said it was implemented through Pan-African Refinery Investment, a special purpose vehicle and subsidiary of Lilium.

In ​IPO transactions, underwriting is a service offered by capital firms and investment banks to a company to guarantee ​the sale of its shares to investors.

Majority-owned by Africa's richest man Aliko Dangote, the refinery has submitted an application for a $5 billion IPO to Nigeria's Securities and Exchange Commission, a source familiar with the matter told Reuters two weeks ago, although ​the final size of the offering has yet to be determined.

"The successful completion of the private placement, together ​with the $400 million underwriting commitment ... in support of the planned IPO, reflects confidence in the refinery's strategic role," Aliko Dangote ‌said ⁠in the joint statement.

OCTOBER LISTING

The $20 billion facility near Lagos, which processes about 700,000 barrels of crude a day, has emerged as a major beneficiary of supply disruptions linked to the Iran war,exporting jet fuel across Africa and into Europe as buyers sought alternative supplies.

That has sparked widespread interest in the sale of shares in the ​plant, African market participants say.
The $400 ​million underwriting commitment would ⁠be implemented upon the launch of the IPO, subject to market conditions and regulatory approvals, Marob and Lilium said.

The public offering is expected to receive regulatory approval ​in the coming weeks and to list on the Nigerian market in October, ​with other ⁠African capital markets also involved.

Investors have responded strongly to the deal, the advisers said, citing African and Caribbean sovereign wealth funds, governments, institutional investors and other eligible investors.

"It is expected to help deepen African capital markets, broaden ownership ⁠of a ​strategic African enterprise and demonstrate how African institutions can mobilise ​long-term capital for industrialisation," the advisers added.

Dangote is also planning to build a new refinery along Kenya's coast, together with East African governments.

By Chijioke Ohuocha and Duncan Miriri, Reuters

Video - Nigeria to list NNPC on stock market

Nigeria is reviving plans to list state-owned oil company NNPC on the Nigerian Exchange. The move could bring greater transparency to the company and unlock new private investment.

CGTN Africa

Tinubu vows to revive Nigeria’s refineries, says plants must return to profitability

President Bola Tinubu has assured that Nigeria’s refineries will be revived, saying the Federal Government is undertaking a comprehensive reset, restructuring and technical assessment to ensure the facilities become productive and profitable.

Tinubu gave the assurance on Thursday in Abuja when he received the national executive of the Nigerian Union of Petroleum and Natural Gas Workers (NUPENG), led by its National President, Comrade Salimon Akanni Oladiti, at the State House.

The President said the government would not allow the nation’s refineries, which have absorbed huge public investments over the years, to waste away, stressing that their revival must be based on sound research, technical assessment, effective management and a sustainable business model.

Responding to NUPENG’s appeal for the revival of the refineries, Tinubu said the government was adopting a systematic and evidence-based approach to addressing the structural, operational, financial and managerial challenges that had hindered their performance.

“The refineries that you mentioned are going to come back to work; we’re just building a very firm resetting and structural reworking of the economy of it.

“Ordinary flame and smoke of a refinery doesn’t mean that it’s working until it’s profitable and yields the value for which it is built.

“I’m not a man who goes looking back on everything because I’ve accepted the assets and liabilities of my predecessor. No matter what has happened in the years past, it’s now my responsibility as president to fix it and make it work for the greatest common good of our population. I take responsibility for that, and we will do it,” he said.

Tinubu appealed to stakeholders, including organised labour, to support the administration’s reform programme, describing democracy as a process that requires patience, sacrifice and collective commitment.

“I promise you, you will enjoy a better Nigeria,” the President said.

On the implementation of local government autonomy, Tinubu said the constitutional issues surrounding its implementation were being reviewed, with a view to possible fine-tuning, and appealed for understanding among stakeholders.

The President also paid tribute to the late former NUPENG leader, Frank Kokori, recalling their shared struggle for the restoration of democratic rule in Nigeria.

“You brought good memories of my relationship with Frank Kokori; may his soul rest in peace. We struggled for this democratic dispensation together, and it was very tough for us to have this democracy, and you have been a very good partner of the government in progress,” he said.

Tinubu further promised greater inclusion for NUPENG in the implementation of the Presidential Initiative on Compressed Natural Gas (CNG), while challenging the union to ensure that the benefits of the programme translate into tangible relief for commuters.

Earlier, the Minister of Information and National Orientation, Mohammed Idris, commended NUPENG for acknowledging what he described as the positive impact of the Tinubu administration’s reforms.

Idris said the recognition by the labour union was significant, particularly against the background of past tensions between organised labour and government over economic policies.

“Your Excellency, it is not common that you find trade unions come back to the President and say, ‘Thank you for what you have done.’ I think this is an uncommon situation,” the minister said.

He recalled that the organised labour movement had previously commended the President after he approved an increase in workers’ wages and indicated that there was no need to wait five years before reviewing the minimum wage.

Idris said it was particularly significant that NUPENG, an influential union at the heart of the petroleum sector, had acknowledged the administration’s major economic reforms, including the removal of fuel subsidy.

“For their leader to come and recognise the reforms that you are doing, especially the major reforms you undertook in this country, the removal of fuel subsidy and also acknowledging that everywhere you go is a construction site in this country, is a good development,” he said.

Speaking earlier, NUPENG President Oladiti commended Tinubu for what he described as the courageous decision to end the fuel subsidy regime, saying the policy had helped halt decades of financial drain on the nation’s resources.

He said the resources freed by the reform were increasingly being channelled into infrastructure and other critical sectors of the economy.

Oladiti particularly praised the administration’s renewed investment in the rehabilitation and construction of federal highways, citing the 750-kilometre Lagos-Calabar Coastal Highway and the 1,068-kilometre Sokoto-Badagry Superhighway.

“For our members, a good road is the difference between arriving home safely and never arriving at all. Every stretch of highway rehabilitated or constructed means fewer accidents, fewer spillages, fewer lives lost, and less stress for the men behind the wheels,” he said.

Oladiti said the impact of the road projects was already being felt by tanker drivers and other road users, describing improved road infrastructure as one of the reforms directly affecting the working lives of NUPENG members.

He, however, urged the President to sustain efforts to revive the country’s refineries, arguing that functional refineries would strengthen national energy security, reduce dependence on imported petroleum products and create more jobs for Nigerian workers.

At the end of the meeting, the NUPENG leadership decorated President Tinubu as the Grand Patron of the union.

By Terhemba Daka, The Guardian

Dangote refinery plans retail-focused IPO, no foreign listing for now

Dangote Petroleum Refinery's planned October IPO, which could become Africa's largest, is designed to let Nigerians share in the company's growth, its CEO ​told Reuters, adding that a foreign listing is at least three years away.

The ‌refinery has submitted an application for a $5 billion IPO to Nigeria's Securities and Exchange Commission, a source familiar with the matter told Reuters this month, although the final size is not decided.

"We really want to drive ​participation," CEO David Bird said in an interview. "The mandate of the IPO was to be ​the people's IPO."

Bird said the company wanted at least three years of ⁠proven production and financial performance before pursuing an overseas listing, which could support a stronger ​valuation. London has been mentioned as a possible venue.

Bird declined to comment on the size of ​the IPO or the refinery's valuation. The source said the company could take into account the $2.5 billion raised in a July private placement, which valued the refinery at about $40 billion.

STRONG INTEREST

The refinery, owned by Africa's richest man Aliko ​Dangote, has emerged as a major beneficiary of disruption linked to the Iran war, selling jet ​fuel across Africa and into western Europe as buyers sought alternative supplies. It became Europe's largest supplier of ‌jet ⁠fuel in June and July, Bird said.

He said preparations for the IPO were on schedule and investor interest had been strong during pre-marketing and the July private placement.

Africa Finance Corporation said on Thursday it led a group of strategic investors in the private placement, adding the deal ​was 3.7 times subscribed ​and attracted strong demand ⁠from African and international institutional investors.

Bird said the refinery compared favourably with U.S. refining assets because of its access to local crude supplies, ​strong domestic demand and integrated operations.

PLANNED EXPANSION

Bird confirmed the company aims ​to double ⁠refining capacity to 1.4 million barrels per day within three years, funded partly through the IPO and debt. He said the expansion would cost substantially less than the roughly $20 billion spent on the ⁠original ​refinery.

Africa remains structurally short of refined fuels and petrochemicals, creating ​significant room for growth, Bird said.

The refinery supplies most of Nigeria's gasoline and diesel demand and all of its ​jet fuel needs.

By Chijioke Ohuocha and Isaac Anyaogu, Reuters

Nigeria considers crude supply reforms to aid Dangote, other refiners

Nigeria is considering changes to crude allocation and pricing rules to improve ‌feedstock access for its refiners, including Dangote Refinery, the local oil refiners' association said.

Dangote has previously said Nigeria's pricing structure adds $3 to $4 per barrel to feedstock costs for refiners because purchases ​are routed through producers' trading arms. Analysts say the main constraint in domestic ​crude transactions is pricing rather than physical availability.

The move could help ⁠boost operations at Dangote's 650,000 barrel-per-day refinery, Africa's largest, whose output has at ​times been constrained by difficulties securing sufficient crude supplies domestically.
The Crude Oil Refinery-owners Association ​of Nigeria (CORAN) said the proposed changes are expected to be discussed this week during a regulator-led review of Nigeria's domestic crude supply obligation, which requires producers to supply local refiners before exporting.

Under ​one proposal, a producer linked to an IOC's network could deliver crude directly ​to a nearby refinery, with volumes reconciled later at the terminal, said CORAN spokesperson Eche Idoko, ‌adding ⁠this would reduce reliance on trunklines and bring crude closer to refiners.

A second proposal would allow refiners that lift crude directly from production facilities to receive a discount reflecting the freight and handling costs embedded in Brent-linked pricing but not actually incurred ​by them.

"This could be ​a win-win for ⁠both the producers and refiners," said Idoko.

The Nigerian Upstream Regulatory Commission (NUPRC) released data on Monday showing producer compliance with the domestic ​crude supply framework rose to over 90% from less than ​43% in ⁠the previous quarter.

The metric tracks actual deliveries against volumes allocated by the regulator, not refinery demand met. Under the scheme, producers must offer allocated volumes to local refineries, with ⁠sales ​agreed on a 'willing-buyer, willing-seller' basis.

A NUPRC official said ​the ideas "are on the table" largely at the urging of inland refiners, but added that implementation would require ​addressing crude quality differences and pricing adjustments.

By Isaac Anyaogu, Reuters

Nigeria Becomes Indonesia’s Top Crude Supplier

Indonesia has been buying large numbers of African crude this year, according to official statistics, as Jakarta draws attention for its Russian contracts.

The government-run statistics agency BPS revealed on Monday that Nigeria made up nearly a quarter of Indonesia’s crude oil imports from January to June 2026.

“Nigeria accounted for 24.91% of the crude imports made in the first half. Followed by Angola [15.41%] and Saudi Arabia [13.62%],” BPS deputy Ateng Hartono told reporters in Jakarta.

The monthly crude imports reached $1.20 million in January on cargoes weighing 2.52 million tons. The February shipments weighed less at just 610,000 tons and had a price tag of $280,000. The figures rose to 1.56 million tons and cost just $850,000 in March. Indonesia imported 1.6 million tons of crude at $1.09 million the following month. The May volume totaled 710,000 tons, Ateng said, without disclosing the value. Imports reached $1.72 million in June, although Ateng did not say the volume.

Indonesia has been working to diversify its oil sources by tapping suppliers whose routes do not include the Strait of Hormuz. Shipping flows have ground to a halt in this narrow passage following the US-Iran war that erupted in late February. Amidst the Nigerian crude purchases, Indonesia has also turned to Moscow for fuel.

Just last week, Energy Minister Bahlil Lahadalia confirmed that the first batch of the Russian crude had already arrived in the country. Local news agencies wrote that the delivery comprised 770,000 barrels. According to initial reports, the order would total 150 million barrels.

“We want to safeguard our energy reserves so we will not face any shortage,” Bahlil said at a press briefing, commenting on the Russian crude.

The overall oil and gas imports had skyrocketed 105.15% year-on-year to $4.56 billion in June 2026, BPS reported. The first-half fuel imports also soared 38.71% compared with the same period last year. Singapore and Malaysia are the leading suppliers.

By Jayanty Nada Shofa, JAKARTA GLOBE

Indian top refinery operator buys 2 million barrels of crude from Nigeria

India’s top refinery operator, Hindustan Petroleum Corp (HPCL ) has bought two million barrels of crude oil from Nigeria via a tender for its 180,000 barrel-per-day refinery in the desert state of Rajasthan, trade sources said Tuesday.

HPCL purchased Nigeria’s Okwuibome and Utapate crude grades from trader Glencore for HPCL Rajasthan Refinery Ltd, the sources said.

The oil is expected to arrive in late September. HPCL holds a 74% stake in the refinery, known as HRRL, with the Rajasthan state government owning the remaining 26%.

HPCL and Glencore did not comment on the trade. Companies involved in such tenders typically decline to discuss individual transactions, a standard practice in crude oil trading where pricing and volume details are considered commercially sensitive.

A refinery still ramping up its crude sourcing

Moreover, the purchase adds to a mix of crude grades HRRL has processed since crude first began reaching the refinery late last year.

Market sources have said early shipments to the facility included crude from multiple origins beyond West Africa, including Azerbaijan’s Azeri grade, Libya’s Mesla grade and Angola’s Nemba grade, alongside Nigerian barrels, reflecting the refinery’s flexibility in sourcing crude as it ramps up operations.

The 9 million tonne per year refinery-cum-petrochemical complex, developed at a cost of roughly ₹73,000 crore ($8.7 billion), began crude distillation operations in January this year.

It is designed to process a combination of imported crude and domestically sourced Rajasthan crude, positioning HPCL as India’s second-largest state-owned refiner by capacity.
Nigeria’s Okwuibome grade has a history in Indian refining

Nigeria’s Okwuibome crude, a low-sulfur grade popular with refineries in North America and Western Europe, has featured in Indian crude purchases for more than a decade.

State-run Indian Oil Corp bought a trial cargo of the grade from Glencore in 2014, following an earlier delivery in 2013 that marked the first instance of an Indian state-run refiner sourcing crude directly from Nigerian fields.

Indian refiners have increasingly diversified their crude sourcing away from traditional Middle Eastern suppliers in recent years, adding West African grades to their import mix as part of broader efforts to secure supply amid shifting global oil trade patterns and periodic sanctions-driven disruptions to traditional import routes.

By Cyrus Ademola, Businessfront

Nigerians want cheaper petrol, but renewed Hormuz battle won’t make that happen

Nigerians hoping for a significant reduction in petrol prices may have to wait longer as renewed tensions in the Middle East gradually reverse the recent decline in global crude oil prices.

Crude prices rose this week after the US reimposed a naval blockade on Iranian ports and President Donald Trump threatened a 20 per cent cargo charge on vessels passing through the Strait of Hormuz. The US, he believes, deserved to be “reimbursed” for being a “guardian of the strait” — one of his many bullish rhetorics retracted hours later.

Brent crude, the international benchmark for oil prices, jumped to $87 per barrel on Wednesday, the first time it has traded at that level since June. The US West Texas Intermediate (WTI) also rose to $80 per barrel, while the stock market dipped significantly.

The renewed tension between the US and Iran is disrupting the relief many hoped the gradual return to pre-war oil prices would bring.

This comes amid growing pressure for the adjustment of petrol retail cost to reflect the decline in crude oil prices that followed the signing of the Memorandum of Understanding (MoU) in June between the US and Iran. In Nigeria, where the global crisis had compounded existing high energy costs and inflation, demand for a petrol price cut was high.

The week before the breakdown of the ceasefire between Washington and Tehran, Nigerians had been questioning why the 40 per cent crude oil price decline had yet to translate to lower pump prices. Many Nigerians criticised the Dangote refinery, which supplies over half of locally consumed petrol, and petrol importers. The Federal Competition and Consumer Protection Commission, in an official statement, warned against exploitative pricing and other anti-competitive practices in the deregulated downstream market, while declaring that it would not hesitate to impose sanctions on violators.

Authorities had also announced engagements with sector operators to placate the public. Then came Mr Trump’s statement that “the ceasefire is over”, which shot up oil prices by 5.2 per cent from $78 to $80, and the renewed strikes that sustained mobility.

Fluctuation in prices

PREMIUM TIMES reported that the war had begun with Israel and the US launching an unprovoked attack on Tehran in the middle of negotiations.

The Trump administration initially justified the strikes by claiming Iran posed an imminent threat to US interests, but later shifted its public rationale to emphasise destroying Iran’s nuclear capabilities. Iran, in response, targeted US military bases and closed down the Strait of Hormuz.

Dangote refinery petrol prices fluctuated significantly during the war. From a pre-war price of below N900 a litre, it moved from N1,075 per litre to 1,175 within the first week of March. By mid-March, it climbed to N1,245 per litre, and fell to N1,200 at the end of the month. The changes remained within this range throughout April before briefly peaking at N1350 in early May. After the MoU, the price fell to N1,175 per litre and then to N1,075 per litre in July.

Mirroring these changes, pump prices rose from about ₦ 870 pre-war to as high as ₦1500 in May. This paper reported that this increase made transportation less affordable in Nigeria, with many citizens abandoning their private cars for public buses and some others opting to walk to their destination.

When the tension eased and the MoU was signed, many Nigerians looked forward to a decline in petrol prices. However, prices remained above N1,000 in many parts of the country. This was despite the global crude oil price falling to about $73 per barrel, close to the pre-war price.

Analysts who spoke to PREMIUM TIMES said retail prices did not reflect this change because petrol prices are determined not only by crude oil prices but also by exchange rates, shipping and insurance costs, refining margins, import costs, and local distribution expenses.

According to Razaq Fatai, a trade analyst and economist, businesses are typically quicker to increase prices when costs rise but slower to reduce them when prices fall because of the need for capital management.

Mr Fatai, who is head of Advisory and Research at Vestance, explained that many businesses in the oil and gas sector finance their inventory purchases through loans and other credit arrangements. So, when prices decline, they may be reluctant to immediately reduce selling prices because they still have existing stock purchased at higher costs and must meet repayment obligations.

“If businesses adjust prices too quickly, they may struggle with cash flow and may find it difficult to restock,” he said.

“Full adjustment in retail prices would occur gradually as businesses absorb previous costs and new, lower-priced supplies enter the market,” Demola Adigun, another energy expert, said.

But with the renewed strikes and the growing tensions around Hormuz worsening instability in the Gulf, Nigerians may have to wait even longer before they begin to see lower petrol prices to the pre-war level.

Oil prices are likely to remain high

Recently, Dangote refinery announced that it began pricing fuel products for the local market in US dollars.

The refinery attributed this to difficulties securing sufficient crude under the government’s naira-for-crude programme and rising global oil prices. Independent petroleum marketers are kicking against this due to its potential implications on the downstream sector.

This development, analysts tell PREMIUM TIMES, will increase the volatility in the downstream petroleum market, as fuel prices may become more exposed to movements in the foreign exchange market.

It could increase demand for dollars among petroleum marketers and further add pressure to the naira, making domestic fuel prices more sensitive to exchange rate fluctuations.

“Nigerians need to brace up for a long ride,” Mr Fatai said. “It is only temporary, but it might also take a while. We find ourselves in an unpredictable situation.”

He further noted that the impact of the renewed US-Iran strikes on fuel prices is likely to be minimal, unlike the first 70 days of the war.

Dan Kunle, an energy analyst, pointed out that Nigeria’s limited crude oil production capacity has made it vulnerable to sudden changes in the global market.

He said that Nigeria, despite being an oil-producing country, cannot meet domestic demand or take advantage of export opportunities, leaving its oil sector import-dependent.

“Nigeria is a developing country that lacks adequate infrastructure and does not possess a comparative or competitive advantage in the hydrocarbon sector.

“This is why Nigerians will struggle to get a stable oil price,” he said.

To address this, he noted, Nigerians must invest in technical capacity, financial strength, and the robust infrastructure required to compete.

By Beloved John, Premium Times

Nigeria launches $500 million agriculture fund to transform oil-rich Niger Delta

Nigeria has unveiled a $500 million Niger Delta Agricultural Investment Fund, marking one of its biggest agriculture-focused investment initiatives as the government looks to diversify the economy beyond oil and strengthen food security.

Vice President Kashim Shettima announced the fund on Wednesday at the Niger Delta Agricultural Development and Investment Summit in Abuja, describing agriculture as a critical pillar of Nigeria's long-term economic transformation. The initiative is designed to increase food production, unlock private capital and position the oil-producing Niger Delta as a major agribusiness hub.

A commercial investment model

Unlike traditional government intervention programmes, the fund will operate as a commercial, returns-driven investment vehicle, financing projects across the agricultural value chain.

Investment will target high-potential sectors including aquaculture, palm oil, livestock, fisheries, marine resources and crop production. According to Shettima, financing will come from a mix of multilateral development institutions—including the World Bank, African Development Bank and Islamic Development Bank—alongside private investors. He did not disclose how much each institution would contribute or the fund's ownership structure.

Nigeria has been ramping up mechanisation efforts, including plans to deploy 10,000 tractors over five years to improve productivity. The government has also pursued international partnerships, including a $1 billion agriculture cooperation agreement with Brazil, aimed at expanding mechanised farming and agricultural infrastructure.

Why the Niger Delta matters

Although the Niger Delta has long powered Nigeria's economy through crude oil production, its vast agricultural potential has remained largely underdeveloped.

By attracting institutional investors and commercial capital into the region, the government hopes to create jobs, expand agricultural exports and reduce Nigeria's dependence on food imports. If successfully executed, the initiative could help reposition the Niger Delta from an oil-dependent economy to one of the country's most important food-production and agribusiness centres.

By Adekunle Agbetiloye, Business Insider Africa

Dangote begins pricing local fuel sales in dollars, citing crude supply constraints

Nigeria's Dangote Petroleum Refinery has begun pricing fuel products for the local market in U.S. dollars, ​with a company spokesperson on Tuesday citing difficulties securing ‌sufficient crude under the government's naira-for-crude programme and rising global oil prices.

The naira-for-crude programme, launched in October 2024, allowed domestic refiners to purchase ​crude in the local currency and reduced pressure on ​the foreign exchange market.

Africa's largest refinery, with a ⁠capacity of 700,000 barrels per day, has set the ex-depot ​price of petrol at $0.779 per litre, diesel at $1.087 per litre and ​aviation fuel at $0.942 per litre, according to a pricing template circulated to marketers.

Edwin Devakumar, vice president of the Dangote Group, said the refinery had ​been absorbing a currency mismatch by selling products in ​naira while sourcing crude in dollars, but limited crude supply under the naira-for-crude ‌programme ⁠had undermined the arrangement's viability.

Although state-owned oil company NNPC increased Dangote's allocation to seven cargoes in May from about five previously, the refiner has said it requires 13 to 15 cargoes ​a month and ​has been forced ⁠to import the remainder at international prices.

The decision could boost demand for dollars among fuel ​marketers and make domestic fuel prices more sensitive ​to ⁠exchange-rate fluctuations.

The sector regulator, the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), did not immediately respond to a request for comment.

Dangote has ⁠become ​a major local petrol supplier, helping ​to reduce the country's dependence on fuel imports, but has struggled to secure ​sufficient volumes in Nigeria.

By Isaac Anyaogu, Reuters

Dangote lowers petrol price in Nigeria even as Trump resumes fighting in Iran

The Dangote Petroleum Refinery lowered its wholesale petrol price on Wednesday, July 8, 2026, despite the resumption of the conflict in the Middle East, which, for the last few months, has brought on a surge in energy prices across Africa.

This price reduction has instigated minor price competition among local fuel suppliers in Nigeria, offering consumers some relief even as domestic diesel costs escalate and global oil markets experience sudden fluctuations.

The massive refinery trimmed its ex-depot petrol price by ₦1, bringing it down to ₦1,075 per litre from the old price of ₦1,076 per litre.

Local market response and diesel hikes

Dangote’s price change has forced other major oil marketers in Lagos to lower their prices slightly to stay competitive.

MRS Oil Nigeria led the way by cutting its depot price by ₦2 to ₦1,074 per litre from the old price of ₦1,076 per litre, making it one of the cheapest options in the city.

While a few suppliers in Lagos and Warri dropped their rates by ₦1 or ₦2, other major companies like NIPCO, Sahara Energy, and Aiteo kept their prices steady.

Right now, most petrol prices at Lagos depots are stable, staying between ₦1,074 and ₦1,075 per litre.

This adjustment in fuel pricing occurs despite the resurgence of hostilities in the Middle East, a conflict anticipated to influence global energy markets.

Trump ends Iran ceasefire, spiking global oil prices

Per recent reports, International oil prices jumped by over 7% in a single day after U.S. President Donald Trump announced on Wednesday, July 8, 2026, that America's temporary ceasefire with Iran is officially "over."

According to global trading platforms like Oilprice.com, this caused immediate worries that global oil supplies might run low, pushing the price of international unrefined petroleum on the global commodities exchange up sharply from its previous $72 to nearly $80 a barrel.

Experts warn that if these global tensions keep driving unrefined petroleum prices upward, the cost of raw oil input will become much higher.

This could eventually force fuel prices back up across Nigeria, potentially ending the local price cuts.

Business Insider Africa

Africa's richest man signs $400 million China equipment deal as refinery expansion targets 1.4 million bpd

 

Africa’s richest man, Aliko Dangote is deepening his bet on Nigeria’s refining future with a Chinese equipment deal aimed at turning his Lagos refinery into one of the world’s largest fuel-processing hubs.

Dangote Group signed a $400 million equipment agreement with China’s Xuzhou Construction Machinery Group, known as XCMG, to support the expansion of the Dangote Petroleum Refinery and other industrial projects.

The deal is expected to help the group double the refinery’s capacity from 650,000 barrels per day to about 1.4 million barrels per day within three years.

If completed, the expansion would place the Lekki-based plant in the same league as Reliance Industries’ Jamnagar refinery in India, currently regarded as the world’s largest single-site refining complex.

For Dangote, the agreement is more than a machinery purchase. It is part of a wider plan to turn Nigeria from a fuel-import dependent economy into a major supplier of refined petroleum products across Africa and beyond.

The refinery has already begun changing trade flows in the region. Reuters reported earlier this month that the facility processed 700,000 barrels per day during a performance test, above its official 650,000 bpd nameplate capacity.

The plant, which started operations in 2024, produces petrol, diesel and jet fuel for the Nigerian market while also exporting refined products to other African countries, Europe, the United States and Saudi Arabia.

That shift is significant for Nigeria, Africa’s largest oil producer, which for decades exported crude oil but relied heavily on imported fuel because of weak domestic refining capacity.

The XCMG deal also highlights China’s growing role in Africa’s industrial expansion. Chinese firms have become major suppliers of infrastructure equipment across the continent, offering large-scale machinery at prices and timelines many African companies consider more competitive than Western alternatives.

The refinery is preparing for a major capital raise ahead of a planned listing. The company had earlier this month sought about $1 billion through a private placement, valuing the refinery at about $39.1 billion. Investor demand had already exceeded $2 billion.

That valuation would make the refinery one of Africa’s most valuable privately built industrial assets.

Dangote has framed the refinery as a long-term industrial bet on Africa, not just Nigeria. The planned expansion would increase fuel supply, deepen petrochemical production and strengthen Nigeria’s position in regional energy markets.

However, the scale of the project also comes with risks. The first phase of the refinery took more than a decade to complete and faced delays, funding pressure and crude supply challenges.

The second phase will test whether Dangote can expand faster while maintaining stable crude supply, regulatory support and export demand.

Still, if the expansion succeeds, it could reshape Africa’s fuel market and give Nigeria a rare advantage in a sector where it has long underperformed despite being one of the continent’s biggest crude oil producers.

By Ayodeji Adegboyega, Business Insider Africa