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

More than 50 children die in diphtheria outbreak in northwestern Nigeria

More than 50 children have died from a diphtheria outbreak in Rano Local Government Area of Nigeria’s northwestern Kano state, a state lawmaker said Tuesday, urging authorities to step up efforts to contain the disease.

Ibrahim Malami, who represents Rano Constituency in the Kano State House of Assembly, raised the alarm during a motion of urgent public importance, saying the outbreak had severely affected communities in Rurum Ward, including Rurum A, Rurum B and Sabuwar Kaura.

He said the local government’s medical department had launched emergency measures, while his office had provided medicines to support the response.

Malami called on Kano Gov. Abba Kabir Yusuf and state health authorities to deploy additional medical personnel, medicines and other emergency assistance to the affected communities.

“We want to inform the Governor and the Commissioner for Health to send further emergency aid to the region because the disease has spread heavily in that area,” Malami said.

Another lawmaker, Usman Abubakar Tasiu, representing Kiru Constituency, warned that the outbreak had spread beyond Rano, with cases also reported in Kwanar Dangora, Garin Dangora and Yelwa communities in neighboring Kiru Local Government Area.

The state Assembly subsequently adopted a resolution urging immediate government intervention and tasked its health committee with coordinating with the state Health Ministry to ensure emergency measures are implemented in the affected areas.

Diphtheria is a highly contagious bacterial infection that can cause severe illness and death, particularly among unvaccinated children. Nigeria’s Centre for Disease Control and Prevention advises parents to ensure children receive the recommended three doses of the pentavalent vaccine, which protects against diphtheria, at 6, 10 and 14 weeks of age.

Nigeria has faced recurring diphtheria outbreaks in recent years, with Kano among the states hardest hit. The World Health Organization said Kano accounted for the majority of suspected cases during a major nationwide outbreak in 2023.

The latest deaths underscore ongoing challenges in vaccination coverage, disease surveillance and access to timely treatment as Nigerian authorities work to contain diphtheria outbreaks.​​​​​​​

By Kabir Adeniyi, AA

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

President Tinubu orders rescue operation after mass kidnapping at mosque

Nigerian President Bola Tinubu ordered the military ​and other security agencies on Tuesday to launch an immediate rescue operation after scores of people were kidnapped by gunmen in north-central Niger State last week.

An armed group posted a ​video on ‌Facebook and WhatsApp showing what residents said were about 600 ⁠women, children and older people abducted during an attack on a mosque in the state.

Reuters could not independently verify ‌the figure, but if confirmed it would rank among Nigeria's largest and most audacious ⁠mass kidnappings in recent years.

An official from Borgu district, where the attack happened, said 30 people had been killed during the attack and were ​buried on Sunday.

The official, who declined to be identified because she ‌was not authorised to speak to the media, said villagers from the communities of Dakera, Gidan-Zana and Sabon Gida were affected.

'We will defend our people'

In its first public comments on ‌the incident, the presidency condemned the attack as cowardly and vowed that those responsible would be brought to justice.

"Terror will not ​cow Nigeria. We will defend our people, protect our communities and uphold the sanctity of human life," Tinubu said in a statement.

Tinubu directed security chiefs to provide regular ​updates on efforts to rescue the abductees and account for all those taken.

Abubakar Umar, the ​traditional head of Dakera community, said at least 2,000 people ​fled into neighbouring Benin Republic following the attack.

Obed Nana, Niger state commissioner for information, told Reuters by phone that authorities were ​still trying to verify the number of missing people.

"I don't want to be too speculative about it because you know how sensitive such information can be," said Nana.

Mass abductions for ransom have become common in parts of northwestern and north-central Nigeria, where heavily armed criminal ⁠gangs frequently raid villages, schools and highways.

The groups often hold captives for weeks or months while demanding ⁠large ransoms and ​have increasingly expanded their operations beyond traditional strongholds in the north.

France24

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