Dangote Refinery Shifts to Libya for Crude After Nigerian Supply Slump

  Promise Obichukwu

  BUSINESS

Thursday, August 6, 2026   4:51 PM

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Dangote Refinery has continued to intensify the diversification of its crude feedstock, decreasing its reliance on Nigerian grades as it quickly increases imports from Libya and other African producers to sustain high operating rates.

Following the crude tracking data by Argus Media, domestic crude accounted for 71 percent of the refinery’s feedstock in July, down sharply from 85 percent in June, marking a significant shift in sourcing strategy at the 650,000-barrels-per-day Lekki-based refinery.

The refinery processed an estimated 595,000 barrels per day (bpd) of crude in July, less than the record 660,000 bpd received in June but well above last year’s average.

The decrease comes after an exceptionally strong June, while crude arrivals scheduled for August indicate that throughput is likely to remain robust.

The refinery’s crude slate was its most diversified yet, with five non-Nigerian grades delivered in a single month for the first time.

Aside Nigerian grades such as Bonny Light, Qua Iboe, Escravos, Forcados, Amenam, Erha, CJ Blend and Utapate, the refinery also imported Libya’s Esharara, Angola’s Clov and Cabinda, Equatorial Guinea’s Lokele and Cameroon’s Ebome.

Libya’s Esharara has emerged as a key component of the refinery’s feedstock mix. July marked the third consecutive month that Dangote received the light sweet grade after taking its first cargo in May.

Another one-million-barrel cargo of Esharara is expected to arrive this week, reinforcing the refinery’s growing preference for North African crude.

The increased use of Libyan barrels also coincides with the disappearance of US West Texas Intermediate (WTI) from the refinery’s import slate.


Dangote is yet to get any WTI cargoes since March, suggesting a shift toward African alternatives that offer similar refining characteristics.

The diversification reflects the refinery’s strategy of sourcing the most commercially attractive crude while lowering dependence on any single supplier.

It also comes in the middle of persistent concerns over the availability and pricing of domestic crude, despite Nigeria’s crude supply obligations under the Domestic Crude Supply Obligation (DCSO) framework.

Crude receipts have risen remarkably since maintenance on one of the refinery’s crude distillation units was completed earlier this year.

Average deliveries were up to 550,000 bpd in the first half of 2026, compared with 410,000 bpd throughout 2025.

Since April, receipts have averaged about 625,000 bpd, underscoring the refinery’s sustained increase in utilisation.

Argus data also showed that the refinery processed a slightly heavier crude mix in July, with an average API gravity of 35.8 degrees compared with 38.7 degrees in June, while sulphur content remained unchanged at 0.15 percent.

In addition, the refinery’s average feedstock this year has been marginally lighter and cleaner than in 2025.

The speed of crude arrivals heading into August suggests the refinery will maintain strong operating rates. A one-million-barrel cargo of Amenam has already been discharged, while similar-sized cargoes of Qua Iboe, Utapate and Bonga
shipments are scheduled to arrive this week, supplying enough feedstock to keep production.
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