Dangote refinery exports petrol to West Africa as Nigeria imports 78,000 bpd

Nigeria imported an average of 78,000 barrels per day of petrol between April and August, even as Dangote Petroleum Refinery exported some of its gasoline output when favourable trading opportunities emerged. A report by Argus Media showed the imports and exports happened side by side as domestic demand, production and market opportunities shaped petroleum product flows.

Dangote’s deliveries to West African markets reached a record 172,000 barrels per day in September, according to George Mayer-Bonnett, Deputy Editor, Oil Products at Argus Media. That was up from the previous record of 152,000 barrels per day in August, according to Kpler data cited in the report. The shipments covered countries across the region, from Senegal to Angola.

Petrol demand outruns Dangote output

Nigeria’s average petrol consumption stood at 279,000 barrels per day during the five-month period, exceeding Dangote refinery’s average output of 258,000 barrels per day. Nigeria also imported 78,000 barrels per day of petrol over the period, allowing the refinery to export some of its production.

The report said: “Gasoline presents a different picture. Nigerian consumption averaged 279,000 b/d during April-August, exceeding Dangote’s output of 258,000 b/d. But Nigeria also imported 78,000 b/d of gasoline over the period, allowing Dangote to export some of its own production when regional arbitrage opportunities emerged.”

Dangote Group said it was producing more petrol than the country could consume. The report said the refinery was able to export some of its gasoline production when regional trading opportunities emerged, despite higher domestic demand.

West Africa still relies on outside suppliers

Petrol accounted for the largest share of Dangote’s September deliveries at 62,000 barrels per day. Diesel and gasoil shipments totalled 57,000 barrels per day, while jet fuel deliveries reached 36,000 barrels per day. Other clean petroleum products accounted for a further 17,000 barrels per day.

West Africa received 516,000 barrels per day of refined petroleum products from external suppliers in September, according to Kpler. The volume was the second-lowest monthly level since the end of 2017. Imports from the European Union, the United Kingdom and Norway fell to a five-month low of 282,000 barrels per day.

Crude receipts, diesel and jet fuel

The refinery’s growing product supply was linked to increased crude receipts at the Lekki plant. Argus tracking showed crude receipts averaged a record 665,000 barrels per day in September, surpassing the previous high of 660,000 barrels per day recorded in June.

Beyond petrol, Dangote’s diesel and jet fuel output exceeded domestic demand. Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority showed Dangote’s diesel output averaged 130,000 barrels per day between April and August, compared with Nigerian consumption of 98,000 barrels per day. The difference indicates diesel production exceeded domestic consumption by an average of 32,000 barrels per day.

Jet fuel output averaged 136,000 barrels per day, compared with domestic consumption of just 16,000 barrels per day. For petrol, however, Nigeria’s consumption remained higher than Dangote’s output, while imports continued to supplement domestic supply.

The figures underline the refinery’s growing role in supplying West African fuel markets, even as the region continued to rely heavily on imports from outside the region.