Nigeria Doubles Crude Supply to Local Refineries

  • The Authority confirmed that crude oil supply to domestic refineries doubled within ten months, boosting local output and improving energy security.
  • It also said the increase in crude supply raised the availability of refined products nationwide.

The Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) has reported a sharp rise in crude deliveries to local refineries. Supply climbed from 20,000 barrels per day (bpd) in 2023 to 40,000 bpd in 2025. The Authority stated that the improvement reflects ongoing reforms and a stronger commitment to establishing a reliable domestic refining system.

At the 2025 annual conference of the Energy Correspondents Association of Nigeria in Abuja, NMDPRA Chief Executive Farouk Ahmed noted steady industry progress. Refined products from local refineries now play a larger role in the domestic market. Petrol (PMS) supply also grew sharply, rising from 1.3 billion litres in 2024 to 3.8 billion litres in 2025. He said the outlook for the market remains positive.

During his presentation, Ahmed, represented by Joseph Tolorunse, Director of the Legal Department, reviewed the Authority’s work since the Petroleum Industry Act (PIA) came into effect four years ago. He explained that the NMDPRA has pushed reforms to strengthen compliance and improve service delivery. New monitoring systems now support better decisions. Digital tools have also boosted regulatory efficiency.

He added that the Authority has aligned its work with national energy goals and global best practice. It has gazetted 18 regulations and introduced new guidelines. Standard operating procedures have also been released to guide operators. Several processes have been automated to simplify operations for businesses.

Ahmed also highlighted progress in the gas sector. He revealed that the Midstream and Downstream Gas Infrastructure Fund (MDGIF) has invested more than ₦287 billion in major gas projects. As of October 2025, sixteen companies are working on 62 projects. The fund attracted an extra US$500 million through an Afreximbank Memorandum of Understanding. This support aims to expand energy access and boost economic growth.

Although the gains under the PIA are clear, he said, challenges still exist. He pointed to perceived regulatory overlap, noting that it often comes from differing interpretations of the law rather than a flaw in the Act.

Even with these issues, the Authority continues to apply the PIA to guide operators and ensure fair oversight. Ahmed said the goal is to support smooth operations, create jobs, and help investors gain more value across the petroleum sector.

Looking ahead, he expressed optimism about the industry’s prospects. The growth of the Dangote Refinery, the expansion of modular refiners, and the planned revival of government-owned refineries offer hope for a stronger and more profitable sector.

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