Dangote Oil Refinery is set to import at least five million barrels of U.S. West Texas Intermediate (WTI) crude in July, following what could be a record-setting month in June for WTI intake.
A Reuters report revealed that the refinery has awarded tenders for approximately 161,000 barrels per day of U.S. crude for July delivery. This comes after deals for about 300,000 barrels per day in June, the highest volume of WTI the facility has secured in a single month.
Located in Lagos, the 650,000 bpd-capacity plant is increasingly sourcing foreign crude to meet demand. Edwin Devakumar, an executive at the refinery, confirmed that domestic supply constraints are driving the shift toward imports.Reuters cited trading sources indicating that Vitol will supply two million barrels in July, Socar another two million, and Glencore one million. Final quantities could still adjust based on additional spot deals.
Though the refinery’s primary feedstock remains Nigerian crude, it began importing WTI in March 2024 and has also procured barrels from Angola, Equatorial Guinea, Algeria, and Brazil. Kpler data shows a prior import record of 173,000 bpd of U.S. crude in April.
The shift to WTI comes amid softening Asian demand for U.S. barrels, with suppliers now turning to African refiners as alternative markets. The refinery has been operating at roughly 80% capacity since mid-March and is projected to reach 85% by October, according to monitoring firm IIR.
Source : https://nairametrics.com/
