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A close in view of part of the refinery
Nigeria Midstream
Simon Ferrie
25 November 2024
Follow @PetroleumEcon
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Untangling Dangote’s supply

The Nigerian mega-refinery has yet to reach its full product-producing potential

Nigeria’s mammoth Dangote refinery continues to face problems sourcing local supplies of crude, despite some recent agreements with former NOC Nigerian National Petroleum Company (NNPC) and the government. On 12 November, NNPC announced that its subsidiary, NNPC Gas Marketing, had signed a gas SPA with the Dangote refinery for 100mcf/d for an initial ten-year span. Half of the volume is firm supply and the other is interruptible. The gas will be used “for power generation and feedstock”, NNPC said. The huge refinery includes a petrochemical complex with the capacity to produce 3mt/yr of urea fertiliser—a gas-intensive process—while natural gas is also a feedstock in oil refining processes. “

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