Dangote Refinery Doubles US Crude Imports Amid Nigerian Supply Shortfall

The Dangote Refinery near Lagos, Africa’s largest crude processing facility with a capacity of 650,000 barrels per day, has significantly increased its imports of U.S. crude oil, sourcing about one-third of its crude from the United States in 2025, predominantly West Texas Intermediate (WTI) Midland grade. This shift is driven by Nigeria’s ongoing struggles to boost domestic crude production to meet the refinery's rising processing levels, with output averaging 1.468 million barrels per day in early 2025, below the 2 million barrels per day target. U.S. crude offers technical advantages, such as higher yields of reformate and improved gasoline blending capabilities, making it more economically attractive for Dangote compared to local Nigerian crudes. The increased U.S. imports have marginally supported the Brent oil market by reducing North Sea supply and reflect logistical and market changes, including reduced availability of Nigerian crude and shifts in Asian demand due to the U.S.-China trade war. Dangote’s ramp-up to full capacity aims to meet Nigeria’s entire refined petroleum demand and generate export surpluses, highlighting the refinery's strategic importance in Nigeria’s energy landscape. Analysts expect continued U.S. crude flows to Dangote, although volumes will remain price-dependent.